Walmart Inc. reported strong holiday sales, saying it would raise wages for about 425,000 of its employees after a year in which the Covid-19 pandemic boosted.
US comparable sales, or those of stores and digital channels operating for at least 12 months, increased by 8.6% in the quarter ended January 29, an acceleration compared to the third quarter when sales increased by 6.4% climbed, and higher than the forecast of most analysts. U.S. e-commerce sales, which include online grocery orders, rose 69% year-over-year.
The country’s largest private employer said it would increase wages for U.S. workers to an average of more than $ 15 an hour. The minimum starting wage for American workers will remain at $ 11 per hour.
The salary increases will be for store workers in digital and stocking roles, said John Furner, U.S. CEO of Walmart. It targets roles that were particularly important during the pandemic, including workers collecting products from store shelves for online orders picked up in parking lots or delivered to homes. Walmart worked to keep shelves in stock while buyers stocked certain items such as food and cleaning supplies.
“We have seen major changes in customer behavior over the last year, and we must continue to stay in stock, deliver on time and provide the best possible experience,” he said. Furner said.