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MINNEAPOLIS – Target Corp. is extending its $2-an-hour pay increase for employees for another five weeks. The retailer initially offered the extra pay in March to help compensate for heightened health risks from staffing stores and fulfilling online orders amidst the COVID-19 outbreak.
The extra pay had been set to expire at the end of the month, but chief executive officer Brian Cornell on March 18 informed employees via email that the bonuses were being extended to July 4.
Target also extended to June 30 policies that provide up to 30 days of paid leave to employees who are 65 or older, pregnant or with medical conditions, and access to backup care for workers’ children and other family members.
“At the outset of the pandemic, we knew there was a long road ahead, that we would have to pace ourselves,” Cornell said. “These pay and benefits extensions are intended to help you and your family do just that as we all continue to support each other and move forward.”
Target announced April 23 that it intended to hire 80,000 workers for its Shipt delivery service to accommodate an increase in online shopping during the pandemic. The company also said first quarter to date e-commerce comps were up 100%, while sales in stores were down slightly. Overall comps were up 7% from the comparable period in the year-earlier quarter.
Target was set to report its fiscal first quarter results on May 20. The company was expected to report pandemic-related incremental costs associated with the bonus pay, the hiring of additional workers and increased costs of keeping stores sanitized for shoppers stocking up on disinfectants, toilet paper, bottled beverages, groceries and other staples.
