Walmart Inc. reported strong holiday sales and said it would increase wages for about 425,000 of its employees after a year of the Covid-19 pandemic boosting its business.
Comparable store sales in the US, or that of stores and digital channels operating for at least 12 months, increased 8.6% in the quarter ended January 29, an acceleration from the third quarter, when sales were 6 , Up 4%, and higher than most analysts had predicted. E-commerce sales in the US, including online grocery orders, were up 69% from a year earlier.
The country’s largest private employer said it would increase pay for American workers per hour to an average of more than $ 15 an hour, compared to an average of more than $ 14 in January 2020. The minimum starting wage for American workers remains at $ 11 per hour. Walmart employs approximately 1.5 million American workers per hour.
The pay increases are for store associates in digital and inventory positions, said Walmart US Chief Executive John Furner. That’s aimed at roles that were especially important during the pandemic, including employees pulling products from store shelves for online orders that are picked up in parking lots or delivered to their homes. Walmart has made an effort to keep shelves stocked while shoppers stock certain items such as food and cleaning supplies.
“We saw major changes in customer behavior last year, which we believe will be lasting, and we need to keep working to stay in stock, deliver items on time and deliver the best omni experience possible,” said Mr. Furner.