Wal-Mart Reduces Employee Hours Following Wage Increase

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Heritage Foundation:

Wal-Mart has been reducing the number of hours employees work in some of its stores following a wage increase earlier this year, according to a report by Bloomberg.

 

The report says “regional executives told store managers at the retailer’s annual holiday planning meeting this month to rein in expenses by cutting worker hours they’ve added beyond those allocated to them based on sales projections.”

 

Bloomberg continued:

 

The request has resulted in some stores trimming hours from their schedules, asking employees to leave shifts early or telling them to take longer lunches, according to more than three dozen employees from around the U.S. The reductions started in the past several weeks, even as many stores enter the busy back-to-school shopping period.

 

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In February, Wal-Mart announced that it would raise its entry-level wage to $9 an hour. The wage increase took place in April.

Opponents of a minimum wage increase noted that Wal-Mart’s decision to cut employees’ hours in some of its stores came after the wage hike.