Retail company Hobby Lobby boosting minimum hourly wage to $19.25
Hobby Lobby, a leading retailer of arts and crafts, home accent, seasonal, and custom framing products, has announced a significant increase in its minimum full-time hourly pay. Starting from Tuesday, all full-time employees will receive a minimum wage of $19.25 per hour.
This move places Hobby Lobby's pay rate at or above the average retail sales staff wages reported by Salary.com and Indeed for many locations and roles, but is still below the broader average of $25.71 reported by the Federal Reserve for all retail trade employees, which includes higher-paid positions.
The privately held company has managed to hold down prices and seen continued business success, despite inflation, and aims to provide some of the best wages and benefits in retail to attract and retain a great team of associates.
According to data from the U.S. Bureau of Labor Statistics, the median hourly pay for retail workers in the furniture, home furnishings, electronics, and appliances sectors was $17.21 in May 2023. This is significantly lower than Hobby Lobby's new minimum wage. Workers in the clothing, accessories, shoe, and jewelry sectors saw the lowest median compensation at $14.48 hourly.
Hobby Lobby's benefits package is also impressive, offering a medical, prescription, and dental plan, a 401(k) with a company match, vacation, sick, and personal pay, paid holidays, and an employee discount.
Despite the high turnover in the retail sector, with typically over 500,000 job openings each year, Hobby Lobby has maintained a stable workforce. The company employs approximately 46,000 employees in 48 states and operates 1,035 stores across the United States.
Founded in 1972 and headquartered in Oklahoma City, Hobby Lobby has a long-standing commitment to its employees. The pay increase is a way of sharing the company's success with employees, but specific details about the previous minimum pay threshold and seasonal hiring plans ahead of the holidays were not immediately available.
The new minimum wage at Hobby Lobby would equate to an annual salary of about $40,000 when working a 40-hour work week. This is a significant increase from the current federal minimum wage of $7.25 per hour.
The job outlook for retail workers through 2033 is flat, but Hobby Lobby closes its stores on Sundays and at 8 p.m. the rest of the week to help employees balance their work and personal lives, and have time for rest, family, and worship.
Sources:
- Salary.com
- Indeed
- Federal Reserve Economic Data (FRED)
- U.S. Bureau of Labor Statistics
- Hobby Lobby's new minimum wage of $19.25 per hour is above the median pay for retail workers in sectors like furniture, home furnishings, electronics, and appliances ($17.21) but still below the average retail trade employee wage ($25.71) reported by the Federal Reserve.
- In the retail sector, which experiences high turnover with typically over 500,000 job openings each year, Hobby Lobby has managed to maintain a stable workforce of approximately 46,000 employees.
- AI could potentially disrupt the retail industry by automating tasks traditionally performed by human employees, which could impact job opportunities and labor demand.
- The financing of Hobby Lobby, a leading retailer, heavily relies on business and finance sectors to support its continued growth and expansion across the United States.
