Paul Sakuma/AP Images
Costco's minimum wage will be increased from June 11.
- Costco is raising its minimum wage from $13 to $14. CFO Richard Galanti said in a call with investors on Thursday that around 130,000 employees will benefit from this.
- The wage increase comes in the wake of the GOP's corporate tax cuts, which has encouraged companies to raise wages and even hand out bonuses to employees.
- Walmart also announced in January that it would raise starting wages for its hourly employees from $9 to $11 and offer a one-time cash bonus of up to $1,000 for other employees who would not benefit from these wage increases.
About 130,000 Costco employees are about to get a boost.
In a call with investors on Thursday, Costco's CFO, Richard Galanti, confirmed that the retailer would be raising its minimum wage from $13 to $14, effective June 11.
Warehouse employees will receive an increase of between $0.25 to $0.50 an hour, he said.
The wage increase comes in the wake of the GOP's corporate tax cuts, which has encouraged companies to raise wages and even hand out bonuses to employees.
Earlier this year, Walmart also announced that it would raise starting wages for its hourly employees from $9 to $11 and would offer a one-time cash bonus of up to $1,000 to other employees who are not impacted by these increases.
More than 1 million employees would benefit from this, according to Walmart.
Walmart CEO Doug McMillon said that the wage increases were a direct result of the tax cuts, which could also help the company to offer lower prices for customers, provide more training for sales associates, and investment in technology.
The same day that this news broke, Walmart also announced that it would be closing 63 of its 660 Sam's Clubs warehouse stores, costing thousands of employees their jobs.
Costco's work enviroment
Costco was included in Glassdoor's best places to work list in 2017 and the company currently has a 4 out of 5 star rating on the company review site.
In April, Business Insider spoke with several Costco employees to ask their opinions about working in the store.
The majority said that compensation was one of the most attractive parts of working there - wages, benefits, and job security came up in responses from 21 employees, according to Business Insider's Áine Cain.
"The best part is all the perks - guaranteed hours, benefits, time and a half on Sundays, free turkeys at Thanksgiving, four free memberships, a livable wage," an employee with six years of experience told Business Insider