Target Plans To Spend an Extra $50 Million on Payroll Ahead of the Holidays

It may be too early to start listening to Christmas music, but it’s never too early to set your business up for success as the busiest shopping season of the year rapidly approaches. According to Inc., Target CEO Brian Cornell announced that the retailer plans on spending an additional $50 million on staffing in order to get ready for the Most Wonderful Time of the Year’s hungry shoppers.

Target plans on keeping up with its newly announced commitment to being “America’s favorite place to shop,” and providing nothing but the best service to its online and in-store customers. In order to deliver on that high-quality service, Target is investing in those of its team who interact with the customers on a day-to-day basis. The $50 million will “be invested in our team in hours, and they’ll be invested in those windows of time when we know guests are shopping our store,” Cornell said, according to the article. “Specifically, that means making sure that its staff is on the floor at the times that are busiest with shoppers. It also means allowing team members to pick up extra shifts, and earn overtime at a time of year when every little bit extra helps,” the article said.

Target isn’t the only company investing in its employees––Chipotle recently implemented a new Chipotle Cultivate Education program to cover its employees’ student debt loans. Given the high rate of employee turnover in the restaurant and foodservice industries—and, it’s worth noting, in the retail space—corporate commitment to employee wellness is quickly becoming table stakes. 

According to a study conducted by Gallup, 85% of employees are dissatisfied with their jobs. Consider Target, Chipotle and other major brands’ people-focused approach a wake up call to industries around the globe to think of innovative and effective ways to retain employees.

To read the full article, click here.