Parkland Health & Hospital System in Dallas announced Wednesday a new plan to raise the minimum wage to $10.25 for 230 janitors, cafeteria workers and other low-wage employees. The $1.50 per hour raise will be funded with bonus checks previously paid to executives.
The hospital’s 60 vice presidents and top executives made the decision to cover the cost of $350,000 for a year. They hope that by providing a living wage they can improve workers’ morale.
“It is the right thing to do,” said Paula Dobbs-Wiggins, MD, chair of the Board’s Employee Relations Executive Compensation Committee. “(We are) recognizing the importance and value of all our employees to fulfilling our mission.”
“It helps us recruit and maintain a higher caliber of staff at all levels inside Parkland,” said Jim Dunn, PhD, Executive Vice President and Chief Talent Officer at Parkland.
Other companies have voluntarily raised their minimum wages lately, including the retailer Gap, which boosted its lowest pay to $10 an hour.
[Photo credit: SEIU workers, New York City – CC license]