Ikea Announces Second Minimum Wage Hike

| by Sean Kelly

One year after announcing a significant minimum wage hike for its U.S. stores, Ikea said on Wednesday that it plans to implement another hike that would bring the starting pay to nearly $12 per hour.

The Swedish retailer announced a raise last year, bringing their minimum wage to $10.76 from $9.17, a 17.3 percent jump. Exactly one year later, the new hike to $11.87 marks a 10 percent increase and $4.62 above the current federal minimum wage.

Rob Olson, Ikea’s chief financial officer in the United States, said that last year’s raise was a major success — resulting in a reduce in turnover by five percent and an increase in qualified job seekers. The company also opened two new locations — in Miriam, Kansas, and Miami, Florida.

“At both of those stores, the applicant pool was fantastic,” Olson said. “We're very pleased so far.”

Popular Video

This young teenage singer was shocked when Keith Urban invited her on stage at his concert. A few moments later, he made her wildest dreams come true.

Sources: Huffington Post, Time

Photo Credit: WikiCommons, Seth Werkheiser/Flickr