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Walmart is raising starting salaries for truck drivers in its private fleet.
Previously, the average annual starting salary for these truckers was around $87,500.
The company increases this number between $95,000 and $110,000.
Walmart is changing its compensation structure so its drivers can earn up to $110,000 in their first year with the retailer as it strives to bolster its logistics capabilities with new investments.
Previously, the average starting salary for Walmart truck drivers was $87,500. Now it ranges between $95,000 and $110,000. In a blog post, Fernando Cortes, the company’s senior vice president of transportation, and Karisa Sprague, its senior vice president of supply chain managers, wrote, “Drivers who have worked at Walmart for over long can earn even more, depending on factors such as seniority and location.”
According to data from the U.S. Bureau of Labor Statistics, Walmart’s new starting salary range for truck drivers is nearly double the average truck driver’s salary of $50,340 per year.
The trucker wage hike is just the latest effort by the Arkansas-based retail giant to implement more mechanisms to allow internal promotion from the massive labor pool of Walmart. Walmart employs 12,000 drivers and employs 1.6 million people in the United States alone.
In addition to increasing the pay range for truck drivers, Walmart also launched its Private Fleet Development Program to establish a pipeline between supply chain jobs and trucking positions. The 12-week development program includes lessons taught by established Walmart truckers. Inaugural classes graduated in Dallas and Dover, Delaware, this year, with attendees earning commercial driver’s licenses and being hired into Walmart’s private fleet.
Walmart is one of many retailers working to attract more truckers. Last year, the company offered truckers an $8,000 signing bonus, joining several transportation companies that offered new drivers bonuses of up to $15,000.
Earlier this year, the American Trucking Association reported that there was a shortage of more than 80,000 truckers. Truckers move about 72% of all goods in the United States, and trucking capacity has been repeatedly cited as a contributing factor to the supply chain crisis, which has led to shortages and price hikes .
Even the White House has taken steps to help attract more truckers to the industry. On Monday, President Joe Biden said his administration’s trucking action plan had helped boost employment levels in the industry above pre-pandemic levels.
Insider previously reported that trucking companies have started recruiting drivers from gas stations and convenience stores, as well as offering perks like luxury truck stops with massagers and pet bathing stations. .
Read the original article on Business Insider
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