Amazon will raise average hourly wages in October
Revere Securities CCO Scott Fullman and Great Hill Capital Chairman Thomas Hayes discuss whether falling consumer confidence will affect tech earnings on “The Claman Countdown.”
Amazon is taking steps to attract more workers in a tight labor market as the busy shopping season approaches.
The online retail giant announced Wednesday that it is increasing its average starting wage for frontline workers from $18 to $19 an hour.
Warehouse and transportation workers will earn between $1[ads1]6 and $26 an hour, depending on their position and location in the US
The change will come in October.
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Browse the Amazon website on an iPad (iStock/iStock)
The minimum wage at Amazon will remain at $15 an hour.
The company employed approximately 1.5 million workers at the end of June.
The move comes ahead of a recently announced Prime Day-style shopping event in October.
The company is the latest major retailer to offer holiday deals earlier this year to lure cautious consumers on tighter budgets.
Amazon stores with packages and company logo (Getty Images/Getty Images)
The event will be held on 11 and 12 October.
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The event will mark the first time Amazon holds a major sales event twice a year and follows the annual Prime Day in July.
Workers line up to cast ballots for a union election at Amazon’s JFK8 distribution center, in the Staten Island borough of New York City, U.S., March 25, 2022. REUTERS/Brendan McDermid./File Photo (Reuters/Brendan McDermid./File Photo/Reuters Photos)
The company is also offering the paycheck as it battles a growing union movement inside its warehouses, fueled by worker complaints over wages and working conditions.
| Ticker | Safety | Last | Change | Change % |
|---|---|---|---|---|
| AMZN | AMAZON.COM INC. | 118.01 | +3.60 | +3.15% |
Next month, Amazon warehouse workers in New York state will vote in a union election following an organizing drive led by the Amazon Labor Union, the grassroots group of former and current Amazon workers that won a union victory at a Staten Island warehouse in April.
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Amazon had raised its average hourly wage to $18 an hour last year.
The Associated Press contributed to this report.
