by Mitchell Tu, The Daily Signal
Wal-Mart is giving employees a raise.
Wal-Mart announced today that it would spend $1 billion to raise the wages for 500,000 workers. Current employees will now be paid at least $9 per hour by April of this year and $10 per hour by February 2016.
Wal-Mart’s decision to lift its base hourly wage is an indication that the labor market is recovering strongly. Since Wal-Mart is a participant in labor markets all over the country, the company’s decision is a good indication that the economy is doing better nationally. Moreover, the higher wages are apparently necessary for Wal-Mart to attract and retain valuable personnel.
Wal-Mart’s decision is also a reminder of the power of free markets.
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