Bank of America is hiking its minimum wage to $20 an hour — nearly three times the federal minimum

Bank of America Merrill Lynch is increasing the minimum wage for its workers.

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Bank of America Merrill Lynch is increasing the minimum wage for its workers.
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Drew Angerer/Getty Images

  • Bank of America Merrill Lynch is increasing the minimum wage for its workers.
  • Starting in May, employees will earn at least $17 an hour. It will increase in increments to $20 an hour by 2021.
  • The bank employs 205,000.
  • Visit BusinessInsider.com for more stories.

Bank of America Merrill Lynch is hiking its minimum wage, and by 2021 all employees will earn at least $20 an hour, the bank announced Tuesday.

Starting May 1, the minimum wage at the bank will increase to $17 an hour. It will increase in increments over the next two years until it hits an hourly wage of $20, the bank said in a statement.

That’s nearly three times the US federal minimum wage of $7.25 an hour.

“We are raising our minimum wage because we believe that to best serve our customers and clients, we need the best teams,” Sheri Bronstein, chief human resources officer at the bank, said in the statement. “Saying thank you, celebrating great work, and sharing our success further demonstrate our commitment to being a great place to work.”

In 2017, Bank of America increased its minimum wage to $15 an hour, up from $13.50 an hour.

The firm, which employs around 205,000 workers globally, is the latest corporate giant to up the ante on minimum pay.

JPMorgan Chase last year increased its minimum hourly wage to between $15 and $18, up from $12 to $16.50.

Costco in March announced a minimum wage increase to $15 an hour, which followed a similar announcement from Amazon in October.