Walmart is paying some new store workers less than it would have three months ago, a sign that employers are seeking to cut labor costs as the once-hot market for hourly staff cools.
The country’s largest private employer changed its wage structure for hourly workers in mid-July, according to documents reviewed by The Wall Street Journal and store workers.
Under the new structure most new hires will make the lowest possible hourly wage for that store. In the past, some new hires, such as those who collect items for online orders, would have made slightly more than other new hires such as cashiers.
Walmart’s minimum hourly wage of $14 remains unchanged and still varies by region, for example starting at $17 in some stores. Existing workers don’t receive pay cuts.
Walmart said the change in pay structure allows workers to move between work groups such as food, registers, stocking or digital fulfillment without pay impacts . . .
Walmart employs around 1.6 million U.S. workers, most of whom work in stores and warehouses. The new wage structure doesn’t reduce wages for current employees, but allows stores to hire new folks at a lower rate . . .
Existing workers will be fired for the slightest of infractions now. Every one in salaried positions will depend on this for their bonuses next year, now that theft has all but eliminated the employee stock bonuses.
I am not sure what definition of unemployment the WSJ is using.
(Prob the U-3 which, I read is pretty standard)
U-1 is more narrow and counts only those unemployed 15 weeks or longer.
Last official measure was on Aug 1 and it was 1.4% which is not bad.
Ten of the last 12 recessions began with U-1 at or below current level so 1.4% does not guarantee anything about the future, but it is certainly not bad.
