DEPARTMENT OF LABOR TOUTS COSTCO

FROM:  LABOR DEPARTMENT 

After the Address, Making the Case for a Higher Minimum Wage

Secretary Perez joined President Obama during a visit to a Costco warehouse in Lanham, Md., on Jan. 29, where he heralded the company that treats "their employees well — with a good salary, benefits and opportunity for advancement." During the secretary's visit, a number of employees expressed their satisfaction with the company and said they feel that they are paid fairly for a day's work. According to Perez, "It's not just employees, but everyone who's involved in your supply chain should be treated fairly." Costco is known for paying its workers above the minimum wage, and President Obama discussed the need for action. He encouraged Congress to pass the Harkin-Miller proposal, which would increase the minimum wage to $10.10 per hour. Earlier, he announced that he would issue an executive order requiring federal contractors to pay their federally funded employees $10.10 per hour. "Because if you cook our troops' meals and wash their dishes, you shouldn't have to live in poverty," the president said. Teressa Allen has worked at Costco for more than 27 years. She started with the company serving hot dogs, and today she is an assistant general manager. Allen's story is just one of many that exemplifies the opportunities for success at Costco. Maryland Gov. Martin O'Malley also participated in the event.