Veteran Costco worker on $33-an-hour is MILLIONAIRE thanks to his job, as retail giant’s incredible treatment of staff is revealed
A veteran Costco worker who makes $33 an hour is sitting on a millionaire retirement plan thanks to the retail giant’s incredible treatment of long-term staff.
Tony Barzar, 60, of Tucson, Arizona, is one of thousands of veteran employees who say they have no plans to leave thanks to Costco’s generous benefits.
These include above average wages, cut-price healthcare co-pays and a competitive vacation allowance.
Barzar began working at the store in 1986 when it was still a Price Club as a $5.85-per-hour cart runner before the retailer merged with Costco.
Today he makes the maximum hourly rate of $32.90 an hour as a self-checkout monitor.
Costco’s decision to buyout Price Club in 1993 meant that he transitioned from a pension to a 401(k) which has grown his retirement fund to a seven figure balance.
‘I could retire, but what would I do? Costco has been good to me,’ he told The Wall Street Journal. ‘I didn’t think me and my family would reach where we sit now.’
Barzar’s role has afforded him the ability to buy a three-bedroom house with a pool and two trips to Europe over the past decade.
Tony Barzar, 60, of Tucson, Arizona, has more than $1 million in his retirement account thanks to Costco’s generous program. Barzar is pictured with his wife, Jody, who also worked at Costco for 26 years
Barzar makes the maximum pay of $32.90 per hour, which has afforded him the ability to buy a three-bedroom house and go on two European vacations
Costco has designed its benefits packages with long-term employee retention in mind, as constantly training new hires is more expensive than keeping staff on for decades, like Barzar.
The wholesale club’s one-year turnover rate is around seven percent, according to WSJ – a shockingly small amount compared to the retail industry’s normal 60 percent rate, according to the Bureau of Labor Statistics.
Costco also has ‘culture coaches,’ which are long-term employees who mentor younger staff members to keep customers and the environment happy.
The employee benefits go beyond just good pay, as they also offer great and cheap insurance plans, which paid for his wife Jody’s three brain surgeries as part of her cancer treatment.
Jody also worked at Costco for 26 years in the bakery department, WSJ reported.
Barzar, who won Employee of the Year in 2018, also used Costco’s therapy benefits to help him cope with his wife’s illness.
‘You don’t have any idea how deep it goes until something tragic happens,’ Barzar said.
He has since returned to work as a part-time employee, and he was able to keep the same hourly pay, he told WSJ.
He started at the location when it was still a Price Club in 1986. Costco bought it out in 1993
In 2018, he won the Employee of the Year award. Barzar has been asked to become a supervisor, but he has declined, as he enjoys his customer-facing role
In Washington, Lee Warders, who is in his 90s, retired from the Covington store in April. He worked there since 2011 and became a local celebrity among members
Barzar has declined several promotions, saying he wants to keep his customer-facing role which has allowed him to bond and share stories with shoppers.
‘I would say this is my calling, right where I’m at,’ he said. The Daily Mail has reached out to Barzar and Costco for comment.
Barzar is not unique, with many other long-term Costco staff who have opted out of progression set to enjoy a healthy retirement.
Gary Millerchip, the chief financial officer, said ‘thousands’ of employees currently have $1 million in their retirement plans.
Employees stay on so long that many retire early due to the massive amounts in their 401(k)s, but ‘you have a pipeline of employees coming behind that group that also are building that level of experience,’ he told WSJ.
Meanwhile in Seattle, Lee Warders, who is in his nineties, retired from the Covington store in April, The Seattle Times reported.
He started at Costco in 2011 and had built up a strong rapport with customers, who created a Facebook page with him and post pictures with him.
He even met his girlfriend, Madeleine, through a customer while working for the retailer.
And like many Costco employees, his 401(k) is healthy as he contributed up to 50 percent of his income into it, he told The Times.
