In an unprecedented move, Ikea, the Swedish furniture giant has announced that it will raise its minimum wage paid to workers across all of its stores in the United States and tie the wage to MIT's living wage calculator, which provides a minimum estimate of the cost of living for low wage families across the United States.

This is a major announcement that may push other U.S. retailers to pay employees a higher livable wage. The company estimates that wages will increase by an average of 17% to $10.76 an hour and will affect over 14,000 employees, or around half of its U.S. workforce.Ikea stated that the move will not raise prices of its products, but it could become an influential topic in recent discussions taking place in Washington D.C., where president Obama has announced a minimum wage increase to $10.10 an hour for federal workers.

To learn more about the announcement click here.