Business

TJ Maxx, Marshalls to Follow Wal-Mart in Raising Pay

Published

11 years ago

February 25, 2015

In this Nov. 17, 2009 file photo, a customer walks past a T.J. Maxx store in Boston. TJX Cos., the owner of T.J. Maxx, Marshalls and Home Goods stores, on Wednesday, Feb. 25, 2015 said it will boost pay for U.S. workers to at least $9 per hour. (AP Photo/Lisa Poole, File)

JOSEPH PISANI, AP Business Writers
ANNE D’INNOCENZIO, AP Business Writers

NEW YORK (AP) — The owner of T.J. Maxx, Marshalls and HomeGoods stores became the latest retailer to boost pay for its U.S. workers, putting pressure on other chains to do the same.

TJX Cos. said Wednesday that it will increase pay for its U.S. workers to at least $9 an hour starting in June. The announcement came a week after Wal-Mart Stores Inc. said it would increase starting wages for its U.S. employees to at least $9 per hour by April and by at least $10 by Feb. 2016. Home furnishings retailer IKEA and Gap clothing chain also have raised pay recently.

John Challenger, CEO of global outplacement firm Challenger, Gray & Christmas Inc., said the moves could create a domino effect in which other companies follow suit in order to compete for top talent.

“Other retailers may have no other choice but to follow,” he said. “The pool of available labor is starting to shrink and it will take more than a store discount to attract the best of available candidates.”

The moves by the major retailers to raise wages come at a pivotal time when the plight of hourly workers has made national headlines.

Protests by fast food workers asking for higher pay have increased. Labor-backed groups have taken aim at Wal-Mart, the nation’s largest private employer with 1.3 million workers, to start entry wages at $15 per hour. And President Obama is endorsing a bill in Congress that includes a proposed increase in the federal minimum wage from $7.25 to $10.10 an hour, while several states are considering raising their minimum wages.

At the same time, there’s much national debate about what is a “living wage,” or enough money for a worker to make in order to make ends meet. Most retail workers already make more than the federal minimum wage but not much more. In fact, more than half of retail workers make $10 or less, according to David Cooper of The Economic Policy Institute.

According to the most recent government data, the average that hourly retail workers in a non-supervisory role earn is $14.65, but that includes people who work at auto dealers and other outlets that pay more than traditional retailers. The average hourly pay is $9.93 for cashiers and low-level retail sales staff, according to Hay Group’s survey of 140 retailers with annual sales of $500 million.

Whatever the major players in the U.S. retail industry decide to do will have a big impact on the job market as a whole. In fact, the industry supports one in every four U.S. jobs, representing about 42 million workers.

Still, the industry has mostly shunned the idea of higher wages. The National Retail Federation, which represents some of the nation’s largest retailers, is fighting President Obama’s proposal, saying the financial burden could force them to raise prices or reduce workforce.

Target Corp. executives weighed in on the issue Wednesday during the company’s earnings conference call, saying that it is always assessing the marketplace to determine competitive wages. But they said the recent announcements from Wal-Mart and others haven’t changed their views on wages. Executives declined to comment on Target’s average hourly wage rate, but they did say all of Target’s workers make more than the federal minimum wage. A Credit Suisse report estimates Target pays $9.06 per hour, based on a sample size of 985 workers.

“Our goal is to make sure we have the very best team in retail,” Target’s CEO Brian Cornell told investors Wednesday. “And we’re going to continue to invest in their development and make sure … we’re very competitive with the wages we provide.”

TJX spokeswoman Doreen Thompson declined to say what its workers currently earn, but a recent Credit Suisse report estimates TJX’s current hourly pay at about $8.24, based on a sampling of 116 workers.

In addition to higher starting wages, TJX, which has 191,000 workers globally that restock shelves, greet customers and ring up purchases, said that in 2016, the company plans to pay all workers who have worked at its stores for more than six months at least $10 per hour.

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The printed Weekly Edition of the Oakland Post: Week of March 18 – 24, 2026

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March 22, 2026

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Financial Wellness and Mental Health: Managing Money Stress in College 

While everyone’s financial situation is unique, several common sources of stress have the potential to strain your financial health. These include financial and economic uncertainty, existing debts, unexpected expenses, and mental or physical health changes. Financial stress may differ from situation to situation, but understanding the factors contributing to yours may help you begin to craft a plan for your unique circumstances.

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2 weeks ago

March 17, 2026

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Sponsored by JPMorganChase

As a college student, managing financial responsibilities can be stressful.

If you’ve found yourself staying up late thinking about your finances or just feeling anxious overall about your financial future, you’re not alone. In one survey, 78% of college students who reported financial stress had negative impacts on their mental health, and 59% considered dropping out. While finances can impact overall stress, taking steps to manage your finances can support your mental, emotional and physical well-being.

When it comes to money, the sources of stress may look different for each student, but identifying the underlying causes and setting goals accordingly may help you feel more confident about your financial future.

Consider these strategies to help improve your financial wellness and reduce stress.

Understand what causes financial stress

2. Determine your financial priorities

Start by reflecting on your financial priorities. For students this often includes paying for school or paying off student loans, studying abroad, saving for spring break, building an emergency fund, paying down credit card debt or buying a car. Name the milestones that are most important to you, and plan accordingly.

3. Create a plan and stick to it

While setting actionable goals starts you on the journey to better financial health, it’s essential to craft a plan to follow through. Identifying and committing to a savings plan may give you a greater sense of control over your finances, which may help reduce your stress. Creating and sticking to a budget allows you to better track where your money is going so you may spend less and save more.

4. Pay down debt

Many students have some form of debt and want to make progress toward reducing their debt obligations. One option is the debt avalanche method, which focuses on paying off your debt with the highest interest rate first, then moving on to the debt with the next-highest interest rate. Another is the debt snowball method, which builds momentum by paying off your smallest debt balance, and then working your way up to the largest amounts.

5. Build your financial resilience

Some financial stress may be inevitable, but building financial resilience may allow you to overcome obstacles more easily. The more you learn about managing your money, for instance, the more prepared you’ll feel if the unexpected happens. Growing your emergency savings also may increase resilience since you’ll be more financially prepared to cover unexpected expenses or pay your living expenses.

6. Seek help and support

Many colleges have resources to help students experiencing financial stress, like financial literacy courses or funds that provide some assistance for students in need. Talk to your admissions counselor or advisor about your concerns, and they can direct you to sources of support. Your school’s counseling center can also be a great resource for mental health assistance if you’re struggling with financial stress.

The bottom line

Financial stress can affect college students’ health and wellbeing, but it doesn’t have to derail your dreams. Setting smart financial goals and developing simple plans to achieve them may help ease your stress. Revisit and adjust your plan as needed to ensure it continues to work for you, and seek additional support on campus as needed to help keep you on track.

 JPMorgan Chase Bank, N.A. Member FDIC