Sam’s Club unveiled a reimagined approach to its workforce compensation, announcing a new plan that it says accelerates pay for nearly 100,000 frontline associates and provides a roadmap for them to plan and pursue more predictable, longer-term financial futures. The new plan creates opportunities for associates to build better careers and lives with Sam’s Club.

In an increasingly competitive retail landscape, attracting, hiring and, more importantly, retaining quality talent has become a true competitive advantage. Good jobs and fulfilling careers help ease the pressure many hourly associates face in balancing long-term personal finances with the responsibility to be brand ambassadors on the front lines of customer experiences. More engaged workers are more productive, provide better service and are more likely to stay, especially in retail, where turnover in 2022 averaged 60 percent.

Recognizing this, under Sam’s Club’s new plan, associate hourly wages will progress faster in their pay range, expanding the increase to between 3 percent and 6 percent based on years of service. The plan sets predictable pay increase milestones to give associates a longer-term perspective on their financial futures. With these new compensation investments, the average hourly rate for Sam’s Club associates is anticipated to be above $19, with the potential to earn thousands of dollars annually in bonuses. In the last five years alone, Sam’s Club’s average hourly wage has increased nearly 30 percent.

“At Sam’s Club, we believe delivering an unparalleled experience for our members starts with investing in our frontline associates,” said Chris Nicholas, president and CEO of Sam’s Club. “Until now, retail compensation has largely been about hourly wages, and it’s almost unheard of to talk about frontline associate compensation in terms of a predictable financial future — that changes for Sam’s Club starting today. As associates invest their time, skills and knowledge in us, we’ve been investing in them and their families, creating a place of hope and opportunity through a multi-year journey that has the potential to transform lives. Our new approach is one step in a series of investments we’ve made in our people over the last several years, all designed to provide more meaningful jobs and build successful teams.”

The new pay plan for frontline associates goes into effect Saturday, Nov. 2.