Fast-growing convenience store operator implementing salary increase despite judge’s injunction

Sheetz is moving forward as planned to implement the changes outlined in the new overtime rule.



The company announced that all of its salaried employees will earn a minimum base salary of $47,500 per year. The decision was made in connection with the Department of Labor’s proposed Fair Labor Standards Act rule, which called for an increase to the minimum salary for salaried employees. The rule was set to take effect on Dec. 1, but a federal judge issued an injunction on Nov. 22 that prevented it from going into effect.



The pay increase affects approximately 270 Sheetz employees and is expected to cost the company approximately $1 million annually.



"Since our founding in 1952, the success and satisfaction of our employees at Sheetz has been vital to the accomplishments of the company itself," said Joe Sheetz, president and CEO of Sheetz, which operates over 535 stores. "This announcement represents our constant efforts toward attracting and retaining the best talent and being a great place to work. It is a commitment that reaches beyond compensation, to the offering of excellent benefits and a great balance between work and family."



Off-price giant The TJX Cos. is also moving forward as planned with its pay increase related to the rule. A survey by the Hay Group found that 56% of retailers plan to comply with the proposed overtime rule for exempt employees as planned on Dec. 1.