BENTONVILLE, AR - Well-known membership club Sam’s Club announced a reimagined workforce compensation plan aimed at nearly 100,000 frontline associates, designed to accelerate pay and provide a pathway to more predictable financial futures.

“At Sam’s Club, we believe delivering an unparalleled experience for our members starts with investing in our frontline associates,” said Chris Nicholas, President and Chief Executive Officer of Sam’s Club. “Until now, retail compensation has largely been about hourly wages, and it’s almost unheard of to talk about frontline associate compensation in terms of a predictable financial future—that changes for Sam’s Club starting today.”

According to a press release, this new approach not only enhances the associate experience but also strengthens customer service, positioning Sam’s Club for continued success in the evolving retail market.

In today’s competitive retail landscape, attracting and retaining quality talent has become essential. With turnover rates averaging 60 percent in retail in 2022, Sam’s Club recognized the need for fulfilling careers that ease the financial pressures faced by hourly associates. The new compensation plan will enable faster progression in hourly wages, offering increases of between three percent and six percent based on years of service.

As a result, the average hourly rate for associates is projected to exceed 19 dollars, with opportunities for substantial annual bonuses. Over the last five years, Sam’s Club has increased its average hourly wage by nearly 30 percent.

“To be truly customer-centric, companies must first be frontline focused,” said Zeynep Ton, Professor of the Practice at MIT Sloan School of Management and Co-Founder of The Good Jobs Institute. “Sam’s Club’s strategic investments in employees and their work have already fueled productivity, increased sales, and built record membership rates. Now, they are continuing to enhance the retail experience for both employees and customers."

Effective November 2, 2024, the new pay plan reflects Sam’s Club’s ongoing commitment to associate development, career growth, and workplace satisfaction. This initiative is part of a multi-year journey to create a supportive environment that emphasizes meaningful work, ensuring Sam’s Club remains a leader in the retail industry.

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