Amazon to Hire 100,000 Warehouse and Delivery Workers Amid Coronavirus Shutdowns
March 16 2020 - 4:13PM
Dow Jones News
By Dana Mattioli
Amazon.com Inc. plans to hire an additional 100,000 employees in
the U.S., according to a company spokesman, as people are turning
to online deliveries at a breakneck pace to help contain the spread
of the new coronavirus.
Amazon plans to deploy the new workers to fuel e-commerce
deliveries and is raising pay for these employees in the U.S. and
Canada by $2 an hour through April. In the U.K., it will go up GBP2
an hour and approximately EUR2 an hour in many EU countries. Amazon
currently pays $15 an hour as a starting wage to workers in its
fulfillment centers around the U.S.
With the coronavirus spreading throughout the U.S. and states
implementing restrictions on large gatherings, more customers are
turning to online shopping for everything from grocery delivery to
paper towels, cleaning supplies and daily needs. Amazon, which also
owns grocery store chain Whole Foods, was one of the companies
President Trump mentioned during his update on the coronavirus on
Sunday. Amazon accounts for 39% of all online orders in the U.S.,
according to eMarketer, and is shouldering a lot of those
needs.
"We are seeing a significant increase in demand, which means our
labor needs are unprecedented for this time of year," said Dave
Clark, Amazon's senior vice president of operations in a memo
reviewed by The Journal.
The 100,000 new jobs will come at a time when broader retail is
contracting and retailers rethink operating physical stores during
a pandemic. Apple Inc., Nike Inc. and Lululemon Athletica Inc.,
among others, have announced temporary store closures. Employees in
the hospitality, entertainment and restaurant industries are also
facing furloughs with cities such as New York and Washington, D.C.
imposing restrictions on gathering in public places.
On Wednesday, Amazon expanded its sick-leave policy to include
part-time warehouse workers and set up a relief fund, with an
initial $25 million for delivery partners such as drivers and
others affected by the outbreak.
The company earlier eased its policy for unpaid time off,
offering workers the option to take unlimited unpaid time off
through the end of March without penalties. The change affected
workers in offices, stores, warehouses and other locations that
require a physical presence.
Write to Dana Mattioli at dana.mattioli@wsj.com
(END) Dow Jones Newswires
March 16, 2020 15:58 ET (19:58 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
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