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Hard Rock awards huge pay rise to hourly employees without tips

Massive percentage increase

Hard Rock International puts a significant amount of change in the pockets of thousands of its American employees. On Monday, the entertainment and hospitality company announced it would give about 10,000 of its employees without tipping major raises, totaling more than $100 million.

The pandemic has brought to light the appalling wages many people in the United States have faced, causing workers to take a stand, not settling for sub-livable wages. There was pressure on Capitol Hill for a national minimum wage of $15 an hour, which is still terrible, but immensely better than the current $7.25 an hour, and would take millions out of poverty.

Hard Rock’s new company-wide minimum wage is $18 to $21 an hour, effective immediately. The increases would apply to positions such as cook, casino cashier, front desk clerk and cleaners, 95 job classifications in all.

Speak Philadelphia plaintiffan entry-level salaried employee in Florida, where Hard Rock has Seminole Hard Rock locations in Hollywood and Tampa, would earn between $8 and $11 more per hour than the state’s $10 minimum wage, extrapolating to more than $16,000 dollars in additional annual salary.

Entry-level workers in Hard Rock Atlantic City reportedly earn up to $6 an hour above New Jersey’s $13 an hour minimum wage. The annual salary of $37,440 still isn’t much, but it’s a ton better than $27,040, which would be state minimum wage.

Praise all around

Bob McDevitt, president of Atlantic City Local 54 of the Unite Here union, called it a “great initiative”, adding: “It will have a big impact wherever they operate.”

One of the reasons for the increase in wages is that Hard Rock wants to make sure its employees can afford an increase in the cost of living. The other reason is competitive: higher starting salaries will attract more and better candidates.

“We have reviewed all of the starting salaries of all of our (frontline) employees, certainly recognizing the prevailing economic conditions,” Hard Rock Chairman and CEO Jim Allen said. “We just wanted to do something to really help and show our employees our appreciation. We try to find the highest quality employees, thanking them for their efforts and recognizing this with compensation. »

“This will give Hard Rock a competitive advantage at a time when the workforce is relatively tight,” said David Schwartz, gaming historian at UNLV. “The service industry may be at a crossroads, and raising salaries is one way to attract great employees.”

While the pay increase will primarily benefit hourly employees, some of Hard Rock’s salaried employees will also receive merit-based pay increases.