Walgreens bumps pay to $15 amid acute worker shortage in U.S.

A Walgreens store in Chicago. Walgreens announced it will raise starting wages to $15 an hour for all of its workers by November 2022.Nancy Stone/Chicago Tribune/TNS

Walgreens Boots Alliance will boost the starting wage for its U.S. employees to $15 an hour, becoming the latest retailer to sweeten compensation amid a hiring crunch.

The company will start gradually increasing pay in October and expects to fully implement the new rate by November 2022. The Deerfield, Illinois-based company operates about 9,000 drugstores across the U.S.

Rewarding employees is “highly important to retaining and attracting a talented workforce, and to continuing to serve our critical role in community health care,” Walgreens Chief Executive Officer Rosalind Brewer said in a statement.

Walgreens follows U.S. retailers such as Target, Best Buy and Amazon.com, which have increased wages in recent years in order to stand out in a competitive job market. Walgreens’ main competitor, CVS Health Corp., earlier this summer announced it would bump starting pay to $15 an hour by July 2022.

The wage increase will cost Walgreens about $450 million over the next three years. Walgreens expects to partially absorb the expense through the normal course of business.

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(1) comment

Eagle24

The biggest share of non-workers by far are the minimum wage earners...there are businesses that have reaped huge profits during Covid... the answer is simple..pay more to those making the least...

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