Walmart Is Copying One Of Costco's Winning Strategies — And It's Working

David McNew/Getty ImagesWalmart is becoming a better place to shop because it started paying employees more. For many years, the company was plagued by widespread complaints about poor customer service at its stores. That was until last year when Walmart, under pressure from investors following several quarters of same-store sales declines, decided to invest billions of dollars in wage increases and training for workers. Specifically, Walmart committed to investing $2.7 billion over two years in higher wages, scheduling improvements, and employee training, following in the footsteps of companies like Costco. Walmart's efforts so far have translated into a pay raise of about 16% to $13.69 per hour for non-managerial full-time employees, The New York Times reports. In the meantime, widespread issues in Walmart stores such as empty shelves and cleanliness have significantly improved. Three out of four Walmart stores now meet the company's own customer service standards, according to the Times.

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