In an effort to reach an hourly minimum wage of $15 by the end of 2020, Target just raised its starting minimum wage to $12 an hour for all team members. The wage is higher than the state-level minimum wage in all 50 states.
The move comes amid the U.S. retailer’s $7 billion investment in a turnaround strategy. With 1,822 stores, the mass-market retailer must compete with the likes of Walmart and Costco. The increase to $12 smells a bit like one-upmanship, as it is one dollar per hour higher than Walmart’s starting wage of $11, which was announced in January. Walmart employs 1.5 million people across the country and is the largest private employer in 22 states.