Walmart is boosting manager salaries and tying bonuses to store profits in 2024

Walmart has announced that it will boost store manager pay and link annual bonuses to store profits, according to a memo from Cedric Clark, executive vice president of store operations, to employees. The memo has now also been published on Walmart’s corporate website.



The first of the two-pronged pay change includes store manager wages. The average salary of a Walmart store manager will increase from $117,000 to $128,000 per year. However, a Walmart store manager’s total annual earnings are also dependent on bonuses. Previously, that bonus was tied to store sales. That will still be the case, but now a store’s profit will also play a bigger role in determining a manager’s annual bonus.



If a store manager hits both the store’s sales and profit targets, the manager’s annual bonus could be as much as 200% of their base salary. For a store manager making $128,000 per year, that means their bonus could reach as much as $256,000.



As CNN reported, the new raises kick in on February 1. It is the first time in more than a decade that Walmart has made changes to the store managers’ pay. Before the changes, a store manager’s pay ranged from between $65,000 and $170,000. Now it will range from $90,000 to $170,000.



“We see an investment in you as an investment in our culture, our core values and in the day-to-day experience of every associate in every store. Investing in you is an investment in our future,” Clark told employees in the memo.



In addition to raising store manager pay, Walmart also announced that its average hourly wage for store employees will soon reach $18 per hour. Walmart’s pay announcements come a month before the company is scheduled to release its earnings for the all-important holiday season on February 20.