These Organizations Pay Their Employees More After COVID-19

The World Bank stated in June that COVID-19 might lead to a global economic crisis on par with some of the worst in history. With job losses and furloughs in the millions, the prediction was not too far from reality. Yet, there are organizations which have given pay hikes and other benefits to their workers. Here is a look.

UK’s Public Sector Workers (NHS)

COVID-19 is the worst economic crisis in recent memory. The ILO estimated that global labor income in Q3 2020 fell by 10.7% or GBP 2.57 trillion (US$3.5 trillion). Despite this, some organizations in the UK were undeterred. They remained committed to retain and support their workers. The National Health Service (NHS) was one of these.

Following the recommendations of independent bodies and having analyzed public sector workers’ pay in the UK, NHS employees will get a 2.8% raise along with some other public sector employees. Chancellor of Exchequer Rishi Sunak made the announcement in July. The chancellor stated that the government would backdate the salary increment to April. This increment is to appreciate the workers for their reliability and contributions to the country. The pay rise applies to doctors and dentists, but not nurses. The government stated that nurses’ exclusion was owed to a 4.4% pay hike in 2018, which predated the decision for all public sector workers’ pay raise.

UK’s Public Sector Workers (Teachers)

The government’s plan to increase workers’ pay included teachers in the public sector. With the new pay rise teachers will earn 3.1% more. Education Secretary Gavin Williamson also approved a 5.5% increase for new teachers. This incentive is meant to encourage more people to consider teaching as a profession. It also appreciates teachers for their positive impact on society. The government representative added that the administration plans to ensure a better economic situation for teachers by 2022, when they will earn up to GBP 27,185 annually.

Virgin Media

The telecommunication company announced plans to strengthen its human resources and increase the pay of employees by 2.2% from April 1. The organization needs more employees due to a spike in the request for new broadband connections. As more people work from home high speed connectivity is becoming more important. CEO of Virgin Media Lutz Schuler said that Virgin provided 860% more broadband connections in Q3 2020 than in Q3 2019. Many telecom workers are foreign migrants. Their earnings allow them to send international money transfers as remittances to their families. The pay hike is very welcome news for these migrants.

Charter Communications

American telecom company Charter Communications raised the hourly wage of its employees from $15 (GBP 11.1) to $20 (GBP 14.8), a straight 25% increment. The organization recognized the efforts of its frontline workers during the crisis. CEO Tom Rutledge stated that his plan was to gradually improve the increment further. Charter plans to hire more people to cope with the widening demand for its services. New hires will also benefit from the pay hike.

U.S. Bancorp

The Minneapolis-based bank holding company released a statement in March. It talked about the approval of a new payment program with a 20% rise in hourly wages. The organization said that the program would benefit its more than 30,000 workers. It assured that no employee would lose a job during the pandemic. According to MarketWatch, U.S. Bancorp’s support for its employees does not mean that it is thriving through the crisis. USB stock is at a historic low, having fallen 51.7% since January. Supporting employees during a time like this shows the organization’s long term commitment and vision.

Centene

American health insurance firm Centene has been supportive of employees during the crisis. The corporation started initiatives to extend healthcare and public support to its workers. It disbursed $750 (GBP 556) as a one-time stipend to employees. Many employees also received paid leave to volunteer in the medical reserve force. According to HealthPayerIntelligence, Centene gave out 50,000 gift cards worth $35.02 (GBP 26) each for purchasing essential products. It further contributed with 25,000 COVID-19 test kits.

Conclusion

Supporting employees can play an important role in a firm’s long term strategy. Peter McGuiness, CEO of yogurt giant Chobani, said in an interview with Forbes that investing in employee’s well-being has helped his company excel over the years. Peter reflected on a core belief of Chobani’s founder, that to care for employees and humanity is an “investment with incredible ROI”. Globally, many organizations have shown the vision and wherewithal to make such investments. They are an inspiration to us all.

About The Author:

Hemant G is a contributing writer at Sparkwebs LLC, a Digital and Content Marketing Agency. When he’s not writing, he loves to travel, scuba dive, and watch documentaries.