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The shift to part-time workers means that focusing exclusively on hourly pay can be misleading. Walmart, for example, paid frontline hourly employees an average of $17.50 as of last month and recently announced plans to raise that to more than $18 an hour. Given that just a few years ago, progressives were animated by the Fight for $15 movement, these numbers can seem encouraging. The Bloomberg columnist Conor Sen wrote on social media last year that “Walmart’s probably a better employer at this point than most child care providers and a lot of the jobs in higher ed.”
The problem is that most Walmart employees don’t make $36,400, the annualized equivalent of $17.50 an hour at 40 hours a week. Last year, the median Walmart worker made 25 percent less than that, $27,326 — equivalent to an average of 30 hours a week. And that’s the median; many Walmart workers worked less than that.
Likewise, at Target, where pay starts at $15 an hour, the median employee makes not $31,200, the annualized full-time equivalent, but $25,993. The median employee of TJX (owner of such stores as TJ Maxx, Marshalls and HomeGoods) makes $13,884 a year; the median Kohl’s employee makes $12,819.
Those numbers, though low, are nevertheless higher than median pay at Starbucks, a company known for its generous benefits. To be eligible for those benefits, however, an employee must work at least 20 hours a week. At $15 an hour — the rate Starbucks said it was raising barista pay to in 2022 — 20 hours a week would amount to $15,600 a year. But in 2022 the median Starbucks worker made $12,254 a year, which is lower than the federal poverty level for a single person.