CVS Health (CVS) Plans To Boost Hourly Minimum Wage Rate
Zacks Investment Research | Feb 12, 2018 10:00PM ET
CVS Health Corporation (NYSE:CVS) recently announced three major programs that will allow the company to share the tax benefit earned from the implementation of the latest U.S. Tax Cuts and Jobs Act with employees. This news comes on the heels of the company’s promising fourth-quarter 2017 results. Along with the results, the company exhibited unwavering commitment toward employees’ welfare.
According to management, the improvement in employee wages and benefits totaled $425 million annually. These are long-term and compensation investments, expected to create growth opportunities for the company and its employees.
The programs include the following three employee-focused investments:
First, CVS Health will lift the starting wage rate to $11 an hour for hourly employees, effective April 2018. With a view to grow its retail stores into a healthcare destination, the company plans to adjust pay ranges and rates for many of its retail pharmacy technicians, front store associates and other hourly retail employees later this year.
CVS Health Corporation Price and Consensus
industry . The stock has lost 11.9%, lower than the industry’s decline of 13.6%.
Zacks Rank & Stocks to Consider
CVS Health carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space are Amphastar Pharmaceuticals Inc. (NASDAQ:AMPH) , HCA Healthcare, Inc. (NYSE:HCA) and athenahealth Inc. (NASDAQ:ATHN) . Each of these stocks sports a Zacks Rank #1 (Strong Buy). You can see Zacks Investment Research
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