Leading public policy research organization Demos recently released a report confirming the benefits of a retail wage increase. According to "Retail's Hidden Potential," if retail giants such as Walmart that employ more than 1,000 workers were to increase the average salary to $25,000, the positive ramifications would reverberate throughout society.
You can read the full report here.
The report's highlights include:
- Increasing the wage floor to $25,000 would affect 5 million workers and lift 734,075 people and their families out of poverty.
- The increased wages would cost retail giants only 1% of their profit.
- The new wage floor would create anywhere from 100,000 to 132,000 new jobs and increase GDP by at least 11.8 billion.
- The purchasing power of workers would increase and result in $4-$5 billion in additional revenue for the industry.
- Customers would only see a $0.07-$0.15 increase per shopping trip.
- In the coming decade, retail jobs will be the second-fastest growing employment sector in the United States.
The Center for Labor Research and Education at UC Berkeley has also released a report focusing on the impacts of Walmart's expanding retail empire.