Bank of America is closing in on its goal of paying its U.S. workers at least $25 an hour by 2025, raising its base salary to within a dollar of that goal as of October.
The move represents an increase from an hourly rate of $23 set last September, the Charlotte, North Carolina-based bank said Tuesday. The $1 hourly increase, which will apply to all full-time and part-time hourly jobs in the U.S., brings full-time annual wages to about $50,000.
BofA declined to say how many workers would get the pay increase, telling CBS MoneyWatch it would be in the “thousands.”
The poverty line for a family of four in 2023 was $30,900, according to data was released Tuesday by the Census Bureau.
Bank of America Corp.
BofA, the nation’s second-largest bank, began expanding its hourly base seven years ago, raising compensation for its lowest-paid workers to $15. The company’s minimum wage has more than doubled since 2010, when it was $11.30 an hour.
The company’s annual raises mean the bank pays its lowest-paid workers more than three times as much federal minimum wagewhich has not been shown from $7.25 an hour in the last 15 years.
Labor advocates launched the “Fight for $15” campaign in 2012 to put pressure on employers to raise their wages. More than 30 US states now require employers to offer minimum wages that exceed the federal base, Department of Labor data shows.