Bank of America raises minimum wage to $25 per hour

At a time when the federal minimum wage still sits at a stagnant $7.25 per hour, having not been increased since 2009, one company has met its pledge to pay a substantially higher starting wage.

Bank of America on Sept. 17 announced that it has increased its minimum wage to $25 per hour for full-time employees, which equates to $52,000 per year. In comparison, the federal minimum wage equates to $15,080 per year.

The increase by the bank comes via its pledge to increase the starting salary to $25 per hour by this year, and will take effect in early October. According to BofA, its starting salary has increased by more than $20,000 since 2017.

“Our strong and rising minimum starting salary provides opportunities for our teammates to build a long-term career at Bank of America,” said Sheri Bronstein, chief people officer for Bank of America. “Competitive compensation is one of the many ways we are helping to drive American economic growth and opportunity.”

The bank, which has seven locations throughout Idaho in Boise, Coeur d’Alene, Meridian, Nampa and Pocatello, pointed out other benefits its employees have received, such as awards in addition to regular pay such as BofA restricted common stock, a program which has been awarded $5.8 billion since its inception in 2017.

According to the bank, the investments it makes in its employees pays off in the long run through career advancement within the company.

“Through an ongoing investment in skills-based training and a culture rooted in opportunity, many teammates who started their careers at a minimum wage salary rise to roles where they lead, mentor, provide for their families and give back to their communities,” a release stated.