Retail giant Target has announced that it will be doubling bonuses for its salaried employees following a significant increase in profits in 2023. The company reported an additional $2 billion in profit growth last year, prompting the decision to reward its team members accordingly.
According to a company spokesperson, Target offers a bonus plan for select employees, including leaders in stores and supply chain operations. The bonus structure is based on goals set at the beginning of the fiscal year, taking into account sales performance and profit outcomes.
While hourly employees are not eligible for these bonuses, they are included in a separate bonus program. This move comes as a response to the company's strong financial performance and commitment to recognizing and rewarding employee contributions.
Competitor Walmart Increases Base Pay and Offers Stock Grants
In a bid to remain competitive, Walmart has raised the base pay for its store managers from $117,000 to $128,000 per year. Additionally, depending on a store's profitability, annual bonuses for store managers could potentially reach up to 200% of their salary.
Walmart's President and CEO of Walmart U.S. announced that store managers will receive an annual grant of Walmart stock, with managers of the largest stores receiving up to $20,000 in stock every year. This move aims to incentivize and retain top talent within the company.
Target Implements Changes to Self-Checkout Lanes
Target has recently introduced changes to its self-checkout lanes, limiting them to 10 items or fewer. The company stated that this adjustment is intended to reduce wait times and better understand customer preferences.
Express self-checkout lanes with the item limit have been rolled out at most of Target's nearly 2,000 stores nationwide. Additionally, the company has increased the number of staffed checkout lanes for customers with larger purchases or those who prefer assistance from team members.
Target emphasized the importance of a fast and easy checkout experience for customers, whether through self-checkout or staffed lanes. Store leaders have been given the flexibility to adjust self-checkout hours and open more staffed lanes based on individual store needs.
Overall, these changes reflect Target's commitment to enhancing the shopping experience for its customers while also recognizing and rewarding the efforts of its employees.
