Target said Monday it will spend about $ 200 million on another round of employee bonuses and expand its coronavirus benefits after its strong holiday season.
The discount retailer will provide $ 500 bonuses for all hourly workers and $ 1,000 to $ 2,000 bonuses for store managers and others in management positions. He said he spent $ 1 billion more on employee benefits and pay in fiscal year 2020 than in 2019.
The target was one of the beneficiaries of the pandemic trends, as buyers consolidate their travel, fill larger baskets and use pick-up on board. This pattern continued over the holidays, boosting the company’s comparable sales by 17.2%, while its e-commerce sales doubled in November and December.
This is the fifth time Target has paid workers additional wages during the pandemic. It also accelerated plans to raise its initial wages to $ 15 an hour in July.
It also has extensive pandemic benefits for its workers, such as paying for those in need of quarantine or staying home from illness, access to virtual doctor visits and free backup care for employees’ family members.
Target shares have risen 66 percent in the past year, bringing their market value to $ 96.1 billion. Analysts expect that at the beginning of March, the company will report tax gains in 2020 of $ 9.22 per share on sales of $ 92.71 billion, according to a survey conducted by Refinitiv.