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Bob Phibbs

President/CEO
The Retail Doctor

Study: Employee Raises More Than Pay for Themselves

November 27, 2012

FROM RETAILWIRE:
A new study from Demos, a liberal think tank, concludes that not only can the nation's largest retailers afford to pay workers substantially more, but that all will benefit greatly as a result. What do you think would be the effect on the retail industry and the economy if wages were raised for full-time workers?      [more...]

MY COMMENTARY:

Wages do not produce results in a vacuum. The challenge to this thinking is just giving the gal who gets $8 an hour $10 an hour means she'll deliver a $12 an hour job. Without additional retail sales training, she'll probably still deliver the $8 an hr job.

Most retailers should operate on the idea your raise becomes effective as soon as you do. Help us lift sales, you're rewarded. If a retailer can partner to increase their customer skills, the proven path to higher sales is there and can justify the raise in pay.

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