ONE of the country’s largest banks has decided to raise the minimum wage for thousands of its employees.
Bank of America plans to increase its minimum hourly wage to $23Month.
This is the latest step in the North Carolina-based company’s efforts to raise its minimum wage to $25 by 2025, it said in a news release Wednesday.
The bank’s minimum wage has increased by nearly $14, or 121 percent, since 2010.
Full-time employees will now earn about $48,000 per year.
“Providing a competitive minimum wage is fundamental to a great workplace,” said Sheri Bronstein, chief human resources officer at Bank of America.
“By investing in a variety of benefits to attract and develop talented teammates, we are investing in the long-term success of our employees, customers and communities.”
“Our commitment to $25 by 2025 is how we share success with you and show other companies the way.”
Bank of America has increased its minimum wage at least five times since 2017.
The federal minimum wage for non-tipped workers has been $7.25 since the last increase in 2009.
Although Bank of America has closed dozens of branches in recent months, it also plans to open new locations.
“The stores play a critical role,” the company’s president, Aron Levine, told the San Francisco Business Times last month.
“Our own research shows that students say, ‘I may never go to a financial center, but I will choose a bank because I know they have one nearby.’
“The financial center plays a psychological role.”
That’s why Bank of America plans to open new locations in markets like Cleveland, Ohio and Minneapolis, Minnesota.
Levine’s comments came after the bank opened two branches in California and announced plans to open more in seven different states.
“We will be present as a financial center in 90 of the 100 largest deposit markets,” the president said.
According to the company, Bank of America has 3,900 retail locations, approximately 15,000 ATMs and more than 200,000 employees across the country.
The company’s stock has fallen 13 percent since January and 15 percent over the past 12 months, according to Fox Business.