H-E-B commits to largest pay increase in company history

Will Anderson

H-E-B, one of the top two grocery store chains in the Houston area, has ended temporary pay hikes that went into effect near the start of the coronavirus crisis — but said it will replace them with permanent measures that amount to the largest pay increase in company history.

In a June 22 announcement, San Antonio-based H-E-B said its “Texas Proud Pay” program ended June 21. It had provided an additional $2 per hour to workers in store, warehouse, and other jobs since March 16.

In its place, the company said it is pursuing “different long-term, permanent investments in our people, which include accelerated and enhanced pay increases for store and supply chain hourly Partners.”

H-E-B did not disclose a dollar amount for the increased pay but claimed the average employee will see more than twice as much money under the new program in the next year than they would have under the temporary hikes “and considerably more over their careers.”

H-E-B said in the announcement: “Texans count on H-E-B, and that means depending on our great Partners, who are the heart and soul of our business. We believe this crisis will be around for an indeterminate amount of time, and our goal is to reward our Partners for their hard work and dedication with more than temporary bonuses.”

H-E-B also said it has extended medical leave to all workers, and if they get Covid-19, they will continue to receive pay.

Separately, the company said it has made Martin Luther King Jr. Day a paid holiday for employees.

H-E-B has more than 400 stores in Texas and Mexico, 120,000-plus employees and annual sales of around $28 billion.

Read the original article here: https://www.bizjournals.com/houston/news/2020/06/23/h-e-b-to-boost-pay-permanently.html