Bank of America minimum wage increase: how much is it and when does it take effect?
Bank of America, the nation’s second largest bank, hikes its minimum wage to $22 per hour with big plans for 2025.
Bank of America had previously announced that it plans to gradually raise its base pay to $25 per hour by 2025. This week, the U.S. bank has already announced raising its U.S. minimum hourly wage to $22 an hour.
Should BofA reach its wage objective in three years, its minimum hourly pay will have increased by almost $14 — a 121% jump since 2010.
Last year, the bank required its U.S. vendors to pay their BofA employees at least $15 an hour.
JPMorgan Chase, the biggest U.S. bank, pays its employees a minimum of $16.50 to $20 per hour, depending on variables like the cost of living in a certain geographical area.
Bank of America leads the way
The Charlotte, North Carolina-based company has a history of investing “in our teammates and their priorities through competitive pay,” as explained by Sheri Bronstein, chief human resources officer at BofA.
In the last five years, BofA raised the minimum hourly wage consistently; $15 in 2017, $17 in 2019, $20 in 2020, and to $21 in October 2021. The company’s increase to $22 an hour is effective end of June, and will increase annualized salary for full-time employees to more than $45,000.