This bank just hiked its minimum wage to $15

bank teller

Maybe it's the banking industry's turn.

Amalgamated Bank announced Thursday that it will raise its minimum wage to $15 an hour.

The change will affect all employees, take effect immediately, and be retroactive to July 1.

Amalgamated encouraged other financial institutions to "join the 'Fight for 15.'"

"We're fortunate enough to be part of the wealthiest industry in America, so I'd hope others in the financial industry will follow," Amalgamated Bank CEO Keith Mestrich told CNNMoney. "It's the right thing to do for people who work in our industry."

keith mestrich

Mestrich added that while cities like Seattle, San Francisco, and Los Angeles are raising the minimum wage to $15, those increases are being rolled out gradually.

Amalgamated also agreed to give all workers a three percent wage hike every year during the union's three-year contract.

Related: Amalgamated bank CEO to bankers: Where are your values?

The decision to increase the bank's minimum wage was the result of collective bargaining with bank employees and also coincided with a study from the National Employment Law Project.

The study found that 74 percent of all bank tellers and 44 percent of all customer service reps in the country make less than $15 an hour. In contrast, many bank executives make millions of dollars annually.

Additionally, the NELP study found that five out of six bank tellers are women, raising additional concerns about gender pay inequality.

Mestrich made it clear that Amalgamated's decision was not a result of the study, but rather a reflection of the company's commitment to "being a leader on workers' issues."

Amalgamated Bank was founded in 1923 as a way to give anyone access to affordable banking. It was one of the country's first labor banks and was created by the Amalgamated Clothing Workers of America.

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