Amazon hikes pay warehouse and delivery workers

Amazon is increasing hourly wages for its warehouse and delivery workers, the company announced Wednesday.

Starting in October, Amazon’s average starting salary for frontline workers in the United States will increase to more than $19 per hour, from $18 per hour, the company said.

Warehouse and delivery workers will earn between $16 and $26 per hour depending on their position, Amazon added. Amazon’s minimum wage for employees in the United States remains at $15 an hour.

Amazon is spending about $1 billion on pay raises over the next year as it seeks to attract and retain employees in a historically tight labor market. It is also preparing to enter what is known as “high” season, the particularly busy shopping period associated with the holidays.

Tensions have grown between Amazon and its frontline workforce, particularly during the Covid-19 pandemic. Employees have demanded wage increases, more paid vacations and adjustments to productivity expectations.

Workers at several Amazon facilities have taken steps to organize, and earlier this year workers at Amazon’s warehouse in Staten Island, New York, successfully voted to form America’s first labor union. the company. Amazon faces another union election at a site near Albany, New York, next month.

The company said earlier this month that it plans to raise salaries and benefits for drivers employed by members of its contracted delivery network, which handles a growing share of its last-mile door-to-door deliveries. client.

Along with the salary increase, Amazon said it is also expanding a salary advance program for its employees that allows them to access up to 70% of their eligible earned salary whenever they want and at no cost. , and not just on a schedule, like a bi-weekly basis.

LOOK: Amazon union wins – president breaks down future decisions