Walmart is revamping its strategy for awarding raises to hourly employees at its U.S. stores, now considering both performance and tenure in its calculations.

In a recent memo shared with NewsNation, Walmart announced that annual pay increases will be influenced by an employee’s years of service, as well as three additional factors: reliability, store performance, and the everyday actions of employees. This development was initially reported by Business Insider.

This performance-driven model represents a departure from the previous year’s approach, where raises were solely determined by length of service.