COMP NEWS – American Family Insurance will be raising its company minimum wage to $23 an hour. AFI claims to have made this change in hopes to remain competitive in the country’s current labor market. This change will directly affect around 2000 employees.

American Family Insurance will be raising its minimum wage to $23 per hour, marking the second wage increase in two years by the company. The increase will take effect in July, and 2,000 employees in the American Family group companies will be affected, American Family announced Wednesday. This includes employees at American Family Insurance in Madison and CONNECT, powered by American Family Insurance in DePere.

A spokesperson for AFI stated that the increase in the insurance company’s minimum wage was targeted to remain competitive in a tight job market.

“American Family strives to be an employer of choice, and compensation is one way to achieve that by remaining competitive in a tight job market,” Schweitzer said. “This increase recognizes the importance of having top talent to provide exceptional service to our customers, while helping employees develop successful careers here.” 

This minimum wage increase will affect their call center and claims divisions the most. The change in the minimum wage is a creative way to make sure that employees who need compensation changes the most get the pay they need and deserve.

Employees in departments such as the call center and claims will be affected by the higher wages.

In one of the most competitive labor markets in the country’s history, many companies are finding more creative ways to attract and retain talent. Companies are finding that simple monetary bonuses are not enough to attract new employees. A compensation structure change such as raising the minimum wage is proving to be much more effective.

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