labor

Under Armour raises hourly wage to $15

Boosting pay is one way companies are combating a US labor shortage.
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Francis Scialabba

· less than 3 min read

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Under Armour is doing more than the minimum. The sports giant on Wednesday said it would raise its hourly rate for 8,000+ retail workers to $15.

Crunch time: In the face of what some are calling a US labor shortage, many companies are boosting pay to lure talent. Under Armour, for example, has 3,000+ jobs to fill.

  • Chipotle, which is on a 20,000-person hiring spree, said it would hike wages to an average of $15/hour by the end of June.
  • McDonald’s is bumping hourly rates at its US company-owned locations by 10% (on average).

Amazon is offering a starting rate of ~$17/hour and $1,000 signing bonuses to entice 75,000 new workers. That’s on top of increasing hourly wages between $0.50 and $3/hour for 500,000+ workers back in April.

Labor intensive: Wage hikes alone likely aren’t enough to correct the job market, Rebecca Givan, associate professor of labor studies and employment relations at Rutgers University, told Retail Brew. “If [retailers and restaurants] offered predictable, consistent schedules and a living wage, and health and safety procedures that workers feel confident in...they could find plenty of workers.”—KM

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