Beginning in the first quarter of fiscal 2023, The Home Depot reported it will invest an additional approximately $1 billion in annualized compensation for frontline, hourly associates.
“The most important investment we can make is in our people. We believe this investment will position us favorably in the market, enabling us to attract and retain the level of talent needed to sustain the customer experience we strive to deliver,” said Ted Decker, chair, president and CEO.
The new wages went into effect on February 6, so some associates already saw the new rates reflected on their February 17 paychecks, said the retailer. All remaining associates will see the increase in their February 24 paychecks.
“This will drive wage growth first and foremost for all our tenured frontline hourly associates,” said the company.
It will also benefit those just starting their careers at The Home Depot.
“This investment positions us more favorably in every market where we operate, and our starting wage in every U.S. market is at or above $15 per hour,” said the firm.
In alignment with its core values, the company said it will invest in wage, benefits, training and career development for its associates.
“We’ve been continuously focused on cultivating the best associate experience in retail, with ongoing investment in associate wages, benefits, bonuses, job tools, and career development opportunities,” said the company.
“We’ve also enhanced training and career development opportunities for our associates. In 2022 alone, more than 65,000 associates were promoted into positions of increased responsibility,” it added.
Home Depot said it’s associates are a key differentiator and competitive advantage for the company.