This story has been updated from March 20, 2015.
The burger chain said late Wednesday that it plans to raise wages for U.S. employees at its company-owned restaurants by $1 over the locally-mandated minimum wage amount. The change will take effect on July 1. McDonald's projects that the average hourly wage rate for McDonald's employees at company-owned restaurants will be "in excess of $10," by the end of 2016, it said. McDonald's is also offering employees with at least one year of service the ability to accrue personal paid time-off.
McDonald's made sure to point out that the more than 3,100 McDonald's franchisees "operate their individual businesses and make their own decisions on pay and benefits for their employees," according to the press release. The change will affect roughly 90,000 workers and approximately 10% of stores worldwide.
McDonald's joins the ranks of Wal-Mart Stores (WMT - Get Report), Target (TGT - Get Report), TJX (TJX - Get Report) , which owns T.J. Maxx, Marshalls and HomeGoods, and other companies who have boosted employee pay.
President Barack Obama has been seeking to raise the federal minimum wage to $10.10 an hour from $7.25. But there are already plenty of companies that pay workers above minimum wage as well as providing health benefits and offering perks like free pints of ice cream (Ben & Jerry's).
Check out a handful of other companies already paying their workers above minimum wage. And when you're done, be sure to check out how good office culture does wonders for a company's stock price.
Target is raising wages for employees to at least $9 an hour beginning this month, according to The Wall Street Journal. The raise has not been officially announced, and it might not help the company anyway.
Walmart made big news in February when it said it was upping the minimum wage paid to roughly 40% of its employees to at least $10 an hour by early 2016. The company also announced pay increases for managers that will give its lower-paid workers a legitimate path to advancement. The pay raises mean that a full-time worker will earn on average $13 an hour, up from $12.85. For part-time workers, wages rise to $10 per hour, up from $9.48, according to the Associated Press.
TJX, the parent company of T.J. Maxx, Marshalls and HomeGoods, plans to raise wage so that full and part-time associations would earn at least $9 an hour beginning in June. Next year that bumps up to $10 an hour for associated employed by TJX for at least six months.
4. Aetna (AET)
Minimum Hourly Wage: $16
Health care benefits provider giant Aetna is raising the minimum hourly wage for employees to $16 an hour, an 11% increase on average for workers. The change would affect about 5,700 employees, roughly 12% of its workforce. The pay increase will be effective on April 6.
Minimum Hourly Wage: $10.76
Swedish furniture and home decorating chain IKEA announced in June 2014 that it was boosting the minimum wage for about half of its U.S. retail workforce to $10.76 an hour, up 17% on average. The change was effective Jan. 1, 2015.
IKEA US also recently introduced a loyalty program in which makes contributions to a new retirement fund and increased the employer-matched contributions to 401(k) plans. The company has also launched a new bonus program for employees.
IKEA has 38 stores in the U.S.
Apparel retail chain Gap Inc. announced in February 2014 that it was raising the minimum hourly rate for 65,000 employees. As of June 2014, U.S. workers received $9 in hourly wages. In June 2015, Gap plans to raise that hourly wage to $10.
7. Costco Wholesale (COST)
Minimum Hourly Wage: $11.50
Starting minimum hourly wage is $11.50 at Costco Wholesale, the membership warehouse club selling everything from bulk toilet paper to contact lenses, a move CEO Craig Jelinek has endorsed. However workers, on average, get paid more like $21 an hour, not including overtime.
8. In-N-Out Burger
Minimum Hourly Wage: $10.50
West coast burger chain In-N-Out Burger starts all new employees at a minimum of $10.50 an hour, according to its Web site. Employees are also eligible for paid vacations, 401(k) plans and some free tasty burgers.
Jobs at Whole Foods, the popular organic foods grocery chain, generally start at $11 an hour, with the national average hourly wage at $19.16, according to a company spokeswoman. In addition, executive salaries are limited to 19 times the average full-time team member salary at Whole Foods.
Many employees are able to receive benefits and stock options.
Minimum Hourly Wage: N/A
Amazon's (AMZN - Get Report) online shoe and apparel company, Zappos pays on average $14.50 an hour for its call center employees, according to Fortune. A Forbes article says the Zappos call center employees can earn up to $16 an hour.