'Increased compensation for a job well done'
MINNEAPOLIS — Target Corp. said Friday that it will invest more than $300 million in wage increases, a new paid leave program, bonus payouts and relief fund contributions.
“With each passing day, it’s clearer how indispensable our team is to communities across the country as our guests cope with the coronavirus,” Target CEO Brian Cornell said in a statement. “Increasing their compensation for a job incredibly well done and ensuring continued compensation for those who need to care for themselves and their families is a reflection of our company’s values and simply the right thing to do.”
Target said it will boost wages by $2 per hour for all full-time and part-time hourly team members working in stores and distribution centers. The temporary increase will be in effect through at least May 2. The retailer will also offer up to up to 30 days of paid leave for employees who are 65 or older, pregnant or who have underlying medical conditions if they prefer not to work.
Target and the Target Foundation also will be giving $10 million to expand relief and assistance to employees, as well as local, national and global organizations responding to the pandemic.
“Families across the country are counting on Target in so many ways during this pandemic, and our team has been nothing short of remarkable,” Cornell said. “The commitments we’re making today will provide additional resources for our most valuable asset—our team—and additional contributions will help support the critical work of our partners in communities impacted by the coronavirus.”
The $10 million donation—Target’s largest ever to a single relief effort—will support efforts in four areas:
- Team Members – $1 million will go to the Target Team Member Giving Fund, which was created in 2018 to help the retailer’s employees weather unexpected financial hardships. Target will match up to an additional $1 million in employee contributions to the fund.
- Local Communities – $5 million will be committed to state and local community foundations supporting nonprofit organizations addressing the greatest needs in their area, including vulnerable populations such as underrepresented communities.
- National Organizations – $3 million will support Feeding America and other national nonprofits.
- Global Response – $1 million will support UNICEF and other organizations, helping provide critical medical equipment and supplies to regions around the world.