Bank of America has decided to give their lowest-paid workers a pay increase to $22 an hour which equals to almost $46,000 a year for full-time employees. The company pay increase will boost the salary of large amount of its 174,000 U.S. employees according to CBS News. This increase comes after the North Carolina base company started with the bank increasing its hourly base to $15 in 2017, $17 in 2019 and then . Bank of America previously announced that they plan to gradually raise its base pay to $25 per hour by 2025.
In 2020 the median earnings of all U.S. workers 15 and older was $41,535, according to the Census Bureau. For full-time employees, median income was $61,417 for men and $50,982 for women, according to the Census Bureau. The agency said the poverty threshold for one person in 2020 was $13,171.
The pay increase comes at the time when large companies have been boosting pay in order to attract employees, and surging inflation.
“We continue to invest in our teammates and their priorities through competitive pay; industry-leading benefits and resources for physical, emotional and financial wellbeing; long-term career development tools and programs; and in our diversity, equity and inclusion efforts across the company, so that we continue to attract and retain the best talent,” Sheri Bronstein, chief human resources officer at the nation’s second-largest bank, said in a statement according to the news station.