Starting wages: $13.29
Trader Joe's, the grocery store where employees wear tropical shirts and refer to managers as "mates" and store leaders as "captains" pays entry-level employees $13.29. At the company's 457 stores, employees also get a 10 percent store discount, access to leadership development courses, and paid vacation time.
Those higher wages and added perks pay off for the company, especially concerning employee turnover. , replacement costs for workers can be anywhere from 30-150 percent of an employee's yearly pay because of hiring, training, and separation costs. Companies paying minimum wage can turnover 50-200 percent of employees a year, costing businesses millions in labor costs. In comparison, Trader Joe's turnover of full time employees is less than 10 percent, . Companies with higher wages (such as the aforementioned Aldi and Costco), tend to see less employee turnover, saving money in lessened labor costs.
