Health & Fitness

Trader Joe’s hikes hazard pay for its U.S. workers, but there’s a catch

A Seattle regulation requiring giant grocery shops to pay their frontline staff an additional 4 bucks an hour takes impact as of Wednesday, and Dealer Joe’s, for one, is opting to increase the extra money past the town to pay its staff extra nationwide. However the non permanent wage bump comes with a catch: The grocery store chain can also be canceling midyear raises for its roughly 10,000 staff.  

Dealer Joe’s on Tuesday stated it might quickly increase hazard pay for all of its hourly staff throughout the U.S., bringing the corporate’s hazard pay to $4 an hour, in keeping with a mandate handed final week by the Seattle Metropolis Council. It operates greater than 500 shops nationwide. 

“Efficient February 1, 2021, the ‘thanks’ premium for all hourly, non-management crew members, was elevated by two {dollars}, for a complete of $4 an hour,” the corporate stated in an replace on its web site. 

Whereas Dealer Joe’s made no reference to Seattle or related strikes by some cities in California, a separate message to staff makes the connection clear, as first reported by the Seattle Occasions. “After seeing this happen with just a few cities in California and Washington we now have decided that such actions are unfair for all shops all through the corporate,” administration wrote final week in a employees bulletin at a Seattle retailer.  

However there is a caveat within the missive co-penned by firm CEO Dan Bane, President Jon Basalone and Bryan Palbaum, government vp of finance and administration. Dealer Joe’s is canceling midyear raises, and will take additional motion “to deal with this potential financial scenario” ought to cities “proceed to extend the hourly charge above $4 or have the premium stay after the pandemic,” the trio wrote.

In response to the Seattle Occasions, Dealer Joe’s usually offers staff a increase of 65 to 75 cents an hour twice a 12 months, which means staff can be giving up a much smaller however everlasting wage hike for a brief $4-an-hour enhance.

Dealer Joe’s didn’t return a request for remark. 

Kroger, nonetheless, is taking a special tact, opting to completely shut what it known as two underperforming shops in Lengthy Seaside, California, after the town council there accredited a brief wage hike for workers of main grocery store chains. 

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