Target has announced plans to increase its minimum wage for employees to $15 per hour, up from its current rate of $13, CNN reports.
The new pay rate will apply to 275,000 part-time and full-time employees at its retail spaces, distribution centers and headquarters.
Target’s new pay rate is well above the federally mandated minimum wage of $7.25 per hour, which has not been raised in a decade. Earlier this year, 24 states announced plans to increase their state minimum wages.
Target last increased its minimum wage from $11 to $13 in June 2019, CNN reports. Earlier this year, the company announced significant e-commerce growth.