Bank of America said Oct. 6 it’s raising the hourly minimum wage for its U.S employees to $21 an hour.
That increase is part of plans to increase the baseline hourly pay to $25 an hour by 2025, after it first began raising wages to the much-discussed $15 an hour. With $21 an hour, Bank of America’s lowest-paid employees could make $43,680 a year.
“We make broad-ranging investments to attract and develop talented teammates who serve our clients and local communities every day, and who can build long, successful careers with our company,” reads a statement from Sheri Bronstein, the bank’s chief human resources officer. “Today, we are taking another step forward, again increasing our minimum rate of pay for U.S. employees, demonstrating our commitment to sharing our success with teammates, and inspiring others to do the same.”
Bank of America, which has an estimated 10,000 employees in the Garden State according to Choose New Jersey, joins a host of other large corporations already paying at least $15 an hour, which for years has been advocated for by labor groups.
Walmart, Amazon, Starbucks and CVS Health, for example, have made their own announcements in the past.
The national minimum wage has been set as $7.25 an hour since 2009. After a series of political volleying in New Jersey, Gov. Phil Murphy and the Democrat-controlled state Legislature reached a deal in early 2019 to gradually increase the minimum wage to $15 an hour by 2024.
Murphy had campaigned on a statewide $15 an hour minimum wage, arguing the higher rate of pay is vital for the economic well-being of the state’s lowest-paid workers. Business groups and Republicans, however, warned that many smaller employers cannot afford to foot the bill for wage increases.