Walmart Plans $207 Million Investment in Employee Bonuses After Strong Fourth-Quarter Results
BENTONVILLE, AK - February and Valentine’s Day may be long gone, but Walmart has still decided to share the love with a recent announcement that over 912,000 U.S. associates will get a share of almost $207 million in cash bonuses in response to the mega retailer’s better-than-expected fourth-quarter performance.
“We are very proud of our associates and the commitment they show to Walmart,” said Damir Hasic, a Walmart Store Manager in Phoenix, AZ, in a press release. “They work very hard to serve our customers and help us achieve our goals, so we love being able to thank them with performance bonuses each year.”
As reported by CNBC, the company recently reported strong fourth-quarter earnings with shares at $1.41, higher than the expected $1.33 per share. E-commerce sales also saw an increase of 43 percent.
The bonuses have already gone out in paychecks and average about $225 per employee.
Walmart had recently announced in January 2018 that it would be increasing its starting wage rate to $11 per hour, disappointing activists who were pushing for a $15 increase.
“We have been investing in our associates through pay increases, training, benefits, and bonuses, and it is really paying off,” said Kate Mora, Regional General Manager of North Carolina, in a press release.
The company reported that the bonuses are a part of a larger incentive plan intended to reward employees whose stores “achieve sales and customer service goals.” Bonuses are not foreign to Walmart employees, as nearly $800 million in bonuses were distributed in full fiscal year 2018, and $625 million the year before, a company spokesperson told CNBC.
“At Walmart, we believe in celebrating our associates and sharing in the company’s wins,” said Steven Reed, Walmart Regional General Manager in Arizona. “We are committed to investing in our people and making sure they know that their tireless dedication is what makes our stores successful.”
Will this new incentive strategy result in happier, more contented workers? And how will that play out in Walmart's future development? AndNowUKnow will keep you up-to-date on all developments.
