Bank of America is hiking pay for tellers as it faces a worker shortage

The company says it plans to raise compensation again next year

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Bank of America announced Tuesday that its hourly workers will all make a minimum of $24 per hour as it tries to combat a shortage of bank tellers.

The bank said the increase will raise the wages of thousands of tellers and other customer-facing workers. By 2025 it plans to pay hourly workers at minimum of $25 per hour, a big jump from the $15 per hour they were making in 2018.

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“Providing a competitive minimum wage is core to being a great place to work — and I am proud that Bank of America (BAC-1.75%) is leading by example,” Sheri Bronstein, the bank’s chief human resources officer, said in a statement.

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Hourly workers will now make a little under $50,000 a year, Bank of America said, which remains far below the bank’s average worker salary of $124,221 in 2023. The company’s CEO, by contrast, made a whopping $28,579,834 in 2023 — earning far more in a day than tellers make in a year.

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According to Wavetec, banks are having a hard time finding tellers due to the lack of innovation in the job, the monotony of the work, and the dearth of enrichment employees find in the job. Many are also turning to remote jobs where they can make the same salary from home.