Image source: Under Armour
Under Armour Inc (NYSE: UA, UAA) plans to raise its minimum wage for US and Canada-based hourly workers in an effort to attract more talent, the Baltimore-based sports apparel maker announced Wednesday.
Starting June 6, Under Armour’s US hourly workers will get a minimum wage raise from $10 per hour to $15 per hour, while those in Canada will see a pay bump to C$15.25 per hour.
Over 8,000 hourly workers will be impacted by the pay bump, which is 50% of the company’s global workforce and 90% of its retail and distribution team, Under Armour said. After the increase goes into effect, some workers could see a pay raise of up to 50%, the company noted.
Under Armour is also seeking to fill over 3,000 positions, including managerial and sales roles. The open jobs will all start at the new wage, according to the company.
In Wednesday’s announcement, Under Armour said the pay increase is the first of several steps it will take to maintain and attract talent in the months ahead. Other initiatives to come include a “learning and development and a new incentive plan” for hourly workers, the company said.
“We are committed to doing the right thing and at the center of our commitment is ensuring our teammates feel valued and appreciated,” Under Armour president and chief executive officer Patrik Frisk stated in a press release.
Under Armour’s announcement comes as retailers and restaurants continue to face a labor shortage.
Several other companies have unveiled wage hikes, retention bonuses and other enhanced benefits alongside hiring announcements, according to CNBC.
In recent months, Amazon.com Inc, Target Corporation, Walmart Inc, Costco Wholesale Corporation and Chipotle Mexican Grill have all boosted base wages to $15 per hour.
On Tuesday, Bank of America announced it was increasing its minimum wage to $25 per hour by 2025. The bank raised its minimum to $15 in 2017 and $20 in 2019.
Source: Equities News