Target Increases Holiday Pay in Attempt to Compete Amid Retailer Worker Shortage

Kellie Ell
·2 min read
7

Target is giving its employees the gift of $2 more an hour this holiday season amid the current labor crunch.

The big-box retailer said Tuesday that hourly workers in stores, service centers and supply chain positions, as well as some headquarter positions and seasonal team members, will receive an extra $2 for select hours worked during the peak holiday season.

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For hourly store and service center workers, as well as select headquarter jobs, the temporary pay raise goes into effect for Saturday and Sunday shifts worked between Nov. 20 and Dec. 19, as well as the Friday before Christmas and the Sunday after. Supply chain workers will get the $2 increase for any two-week period worked between Oct. 10 and Dec. 18, depending on location.

“This team continues to be at the heart of our strategy,” Melissa Kremer, chief human resources officer at Target, said in a statement. “You have shown up consistently for our guests and one another with a tremendous amount of care and we know this busy holiday season will be no different. This is just one more way of expressing our deep gratitude for your significant contributions. Thank you for the many ways you bring joy to all families and for all you do to make Target a place where we can care, grow and win together.”

Meanwhile, Target raised its minimum wage for hourly employees to $15 an hour during the summer of 2020 and began offering other employee perks ​​— such as tuition assistance to its approximately 340,000 full-time and part-time store team members — in an attempt to retain workers as retailers throughout the industry struggle to fill hourly jobs amid a tight labor market.

The mass-channel merchant has also distributed six rounds of employee awards — between $200 and $2,000 each — during the pandemic. In addition, Target recently said it would offer its existing associates more hours and more flexible schedules during this year’s holiday season, rather than hire more temporary in-store staff. The company also said it would add an additional 30,000 employees to its supply chain facilities this year.