Amazon has once again announced to hike average hourly pay as it is looking to hire around 125,000 employees across the United States. The average starting wage has been hiked as companies trying desperately to get workers in the present circumstances. Companies like Amazon are having a tough time hiring workers to meet the increase in demand after some relaxations were announced in Covid-19 restrictions. To woo workers, companies are announcing several measures – including an average pay hike. The e-commerce giant said that it would pay an average of USD 18 an hour for new jobs in logistics. Amazon was one of the few retailers to set a minimum wage of USD 15 in 2018. This is around 20 percent higher than the base pay Amazon set back in 2018. The world’s largest retailer also said that it would be offering USD 3,000 as signing bonuses in some locations. Also, the hourly wage is likely to go up to USD 22.50 at some locations. The hike is significant considering the fact the company had announced in May this year that it would pay USD 17 as average wages to its workers. The company is hiring these workers to run the 100 logistics facilities that the company is set to launch this month in the country. These logistics facilities are coming after Amazon opened more than 250 such facilities opened earlier this year.
The additional workers being hired by the online retailer will be tasked to complete one-day delivery orders for Prime loyalty club members. The new hirings are in addition to the 40,000 people company will hire to fill corporate and tech roles. While retailers continue to face problems in hiring hourly workers, Amazon has announced several measures to sweeten the pot and be ahead of its rivals. From boosting pay to covering college tuition, the company is leaving no stone unturned to ensure it has enough workers. It recently announced that it would cover the college tuition of all frontline workers. The company is known to hire workers in the fall in order to make sure that all its customers get their products delivered on time ahead of the crucial holiday season. The hiring process usually starts with a string of announcements. Amazon’s senior vice president of global delivery services John Felton said that the market is highly competitive ‘but we like that environment.’ “It is very important to have a sufficient workforce to remain ahead of our rivals. We want to remain competitive and this is the right kind of experience for employees. Such perks help us find high-quality employees,” Felton said.
Amazon has been on a hiring spree of late. The company added over 400,000 over the last year. The company needed more workers as the lockdowns forced shoppers to rush online. The other important thing is that the company added on an average one logistics facility every day. It is expected that the company would exceed the pace in 2021. Amazon had said that it opened over 250 new fulfillment centers and other facilities across the United States. It is planning to add around 100 more buildings this month. According to a report, Amazon had over 950,000 employees in the United States by the end of June. The total number of employees working for the company worldwide is over 1.3 million. Most of these workers are employed at logistic divisions and warehouses of the company. Meanwhile, Amazon will hire 15,000 workers across Canada. These hiring will be under its ongoing Canadian expansion plans. Amazon will increase hourly wages to between USD 17 and USD 21.65 in Canada for new hires. Amazon is expanding in Canada and now has 46 warehouses compared to 30 in mid-2020. The company is likely to announce more expansion plans later this year.