Drugstore chain CVS Health (Woonsocket, R.I.) announced that it has raised its starting minimum wage to $11 per hour, matching the recent increases at Walmart (Bentonville, Ark.) and Target (Minneapolis). The pay raises are a result of the company’s tax savings from the recently passed tax cuts.
In addition to the raise, it plans to increase employees’ parental leave to four weeks, with 100 percent compensation for new parents, reports USA Today. It will also keep insurance premiums at the same price in the upcoming year.
The retailer declined to comment on how many of its 240,000 employees would benefit from the pay raise.
“Today, we’re building on the investments we’ve been making in our employees, in their wages, benefits and career development,” said CVS CEO Larry Merlo in a statement released by the company.