Walmart to give raises to 500,000 workers

BENTONVILLE, Ark., Feb. 19 (UPI) -- Retail giant Walmart said it plans to give raises to some 500,000 employees, bringing hourly wages above today's federal wage minimum.

The company, which announced a mixed quarterly report, said the move ensures hourly employees at Walmart and Sam's Club earn at least $1.75 over the federal wage minimum, or $9 an hour, in April. By Feb. 1, 2016, current employees will earn at least $10 an hour, Walmart said.

The company said it is spending $1 billion to adjust how it pays and trains its hourly employees, including the raises.

"These changes will give our U.S. associates the opportunity to earn higher pay and advance in their careers. We're pursuing a comprehensive approach that is sustainable over the long term," Doug McMillon, Wal-Mart Stores, Inc. president and CEO, said in a written statement.

For years, advocacy groups and employees have asked for pay raises. Full-time workers currently make an average of $12.85 an hour and part-time employees earn an hourly average of $9.48, spokesperson Kory Lundberg told USA Today. Those averages will increase to $13 and $10 respectively under the new plan.

The announcement came as the company posted mixed fourth-quarter results. The retailer earned $1.61 per share, which is stronger than the anticipated $1.53. Revenue was at $131.6 billion, lighter than the $132.2 billion forecast.