Free Market Evaluation - Send us your resume and we will give you free feedback
Charter Merges with Time Warner Cable
Charter Merges with Time Warner Cable
Criminal Charges for ConAgra Foods
Criminal Charges for ConAgra Foods
American Apparel Hit with Another Lawsuit from Former CEO
American Apparel Hit with Another Lawsuit from Former CEO
Uber Made Legal in the Philippines
Uber Made Legal in the Philippines
Legal Job Listings
Download PDF

Profit for Costco Soars After CEO Backs Increase of Minimum Wage View Count: 79

The CEO of Costco, Craig Jelinek, discussed his agreement with the increase of the minimum wage in the United States last week. Since then, the profit of the company in the last quarter hit $537 million, which is an increase from $394 million for the same time last year, according to the Wall Street Journal.

“At Costco, we know that paying employees good wages makes good sense for business,” Jelinik said in a statement last week. “Instead of minimizing wages, we know it’s a lot more profitable in the long term to minimize employee turnover and maximize employee productivity, commitment and loyalty. We support efforts to increase the federal minimum wage.”

The company has come to be known for paying its employees wages well above the average in the retail industry. In 2011, an average worker at the company made $45,000, according to data from Fortune. Compared to Walmart, those workers made an average of $17,486 per year.

Get JD Journal in Your Mail
Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




Costco has reported more than $10,000 in profits per employee because of the extra pay. Walmart makes $7,400 per employee, according to the Daily Beast. Costco also offers its employees health insurance, both full and part-timers. Some analysts say that the added wages are not good for shareholders, but if the profit numbers for last quarter are true, not many shareholders are going to care.

Profit for Costco Soars After CEO Backs Increase of Minimum Wage by

Tagged: ,

Posted by on March 13, 2013. Filed under Business News. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

 

 

Job of the Day
Mid-level / Sr. Corporate Associate
USA-NY-New York City
Sophisticated midsize firm located in NYC seeks a general corporate transactional associate with 3+ years of experience. Experience representing venture capital firms, emerging companie...


Apply now

Related Posts: