CRAIG JELINEK

Costco CEO Craig Jelinek painted a mixed picture Monday, one in which consumers are more vigilant but inflation is cooling.

The food court combo has remained the same price since 1985.

Retail powerhouse Costco, which is set to release strong fiscal fourth-quarter results on Thursday, remains a top Club pick.

The Investing Club holds its "Morning Meeting" every weekday at 10:20 a.m. ET.

Costco CEO Craig Jelinek says stubbornly high inflation, which has been straining American consumers, is not going to be permanent.

We continue to believe in Costco, even as retailers like Walmart warn of profit erosion ahead.

The Investing Club breaks down CNBC's interview with Costco CEO Craig Jelinek.

The retail executive also said the company is putting off a hike in annual membership fees.

Costco raised the price of its chicken bake to $3.99 and its 20-ounce soft drink to $0.59. The $1.99 pizza slice and $1.50 hot dog combo remain untouched.

Costco, one of the first retailers to mandate shoppers wear masks, has dropped its requirement for those who are fully vaccinated at some clubs.

(AP Photo/Rogelio V. Solis)NEW YORK – Costco will increase its starting wage to $16 an hour, surpassing most of its main competitors. Jelinek said the starting wage for Costco employees would rise to $16 next week, up from $15 the company instituted two year ago. The starting wage scale puts Costco above competitors, including Amazon, Target and Best Buy, which have $15 minimum wages. Walmart's starting pay is $11 an hour. AdThe federal minimum wage is currently $7.25.

Costco CEO Craig Jelinek said that the retailer will boost its minimum wage to $16 an hour starting next week, up from its current baseline pay of $15 an hour. Costco had last boosted its baseline pay in 2019, when it raised its minimum wage to $15 an hour. Amazon.com boosted its baseline pay to $15 an hour in 2018, while Walmart's minimum hourly rate remains at $11 an hour. One restaurant owner told the committee that raising the baseline wage to $15 an hour would hurt his operations. Even so, he added that he isn't opposed to a minimum wage increase, but noted that small businesses may not be able to handle it the same way as large corporations might.

Costco is raising its hourly minimum wage to $16, putting its starting wage above many of its rivals such as Amazon, Walmart and Best Buy. "Two years ago, we moved our starting hourly wage to $15 everywhere in the U.S. Effective next week, the starting wage will go to $16," said Costco CEO Craig Jelinek during a Senate budget committee hearing on Wednesday. This move comes as Congress debates the $15 an hour federal minimum wage increase as part of President Joe Biden's $1.9 trillion Covid-19 relief bill. Costco employees in the U.S. have been with the company for over nine years on average, with more than 60% of its workers averaging five years or more of service.

"Our overall online business will continue to grow. But many Costco members have turned to its website this year, leading to strong online sales growth that many of its competitors also experienced. A similar trend ensued in the company's fiscal fourth quarter, which saw online sales increase 91% year over year. "We're going to continue to build that business," Jelinek said, noting some of the technology investments the company made. During the pandemic, Costco saw customers stocking up on items such as toilet paper, leading to the imposition of limits on the number they could purchase.