While major retailers such as Macy’s intend to hire the smallest number of seasonal workers for the crucial holiday shopping season since 2008, Amazon announced Tuesday it plans to hire 250,000 logistics workers and raise the average wage.
“The holiday season is always a special time at Amazon and we’re excited to hire 250,000 additional people this year to help serve customers across the country,” said John Felton, Amazon’s Senior Vice President of Worldwide Operations.
The new hires include full-time, part-time, and seasonal workers making between $17 to $28 per hour, depending on warehouse location.
Felton continued, “Whether someone is looking for a short-term way to make extra money, or is hoping to take their first step toward a fulfilling and rewarding career at Amazon, there’s a role available for them. A fulfillment or transportation employee who starts with us today will see a 13% increase in pay over the next three years–likely more, including our annual wage investments–and that’s on top of offerings like pre-paid college tuition with Career Choice and heath care benefits on day one.”
The Seattle-based company is the second-largest private employer in the US, behind Walmart. And it’s around this time when Amazon and retailers begin hiring for the holiday shopping season.
However, not all retailers are optimistic about the upcoming shopping season. Macy’s announced it plans to hire only 38,000 full and part-time workers – much fewer than last year and the lowest number since 2008. Meanwhile, Nordstrom recently warned about a slowdown in consumer spending. Weeks ago, Walmart slashed pay for new hires.
Many mid to low-tier consumers are stretched thin in the era of ‘Bidenomics,’ grappling with rising credit card debt, diminished savings, and steep interest rates. Additionally, tens of millions of consumers are resuming their student loan payments this month. These factors are headwinds weighing down consumer spending.
It remains to be seen if labor unrest will affect Amazon this holiday season. Bloomberg pointed out, “The company is challenging an election in which more than 8,000 workers at a Staten Island, New York, warehouse won the right to be represented by a union. Similar efforts at other warehouses have failed, though organizing drives continue.”
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