Job applications surge on Gap's wage promise

Shoppers walk past a Gap store in Chicago.
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Job applications have risen by at least 10 percent at the Gap and Old Navy chains after the company said earlier this year that it would bump its hourly pay to $9 in 2014 and to $10 in 2015, according to a Bloomberg article.

Although the apparel retailer has seen increases in applications at all of its nameplates, Old Navy saw the biggest impact. The lower-priced label had previously seen a decline in applicants.

"That we'd be able to be more competitive and attractive in getting the best talent we can find—that's where the benefit will come," said Old Navy Vice President Lynn Albright, according to the report. She made the comments at the White House Summit on Working Families.

The announcement comes as President Barack Obama is looking to increase the federal minimum wage to $10.10 an hour, from its current $7.25 level.

Along with Gap and Old Navy, the company operates Banana Republic and Athleta stores.

To read the full story from Bloomberg, click here.

—By CNBC Staff.