Image source: Dallas Morning News
Amid the union wave, Amazon took a drastic step to raise the average salary of warehouse workers and delivery drivers.
On Wednesday, Amazon announced it would raise the average starting salary to over $19 an hour.
Previously, it was $18 if labor disputes took place in several establishments.
Salary increase
Amazon’s first pay raise will take effect next month.
The company’s frontline employees in the United States earn between $16 and $26 an hour. However, the company said the salary depends on the worker’s position and location in the country.
According to Amazon, the company is investing nearly $1 billion in salary increases and other benefits.
The announcement comes just before the holiday season, one of the busiest for the e-commerce giant.
They also made the decision as rising inflation continues to erode Americans’ take home pay.
Amazon’s pay rise also comes after the company faced unionization of workers at several warehouses.
Warehouses have been the source of frustration for workers running the company during the pandemic.
In addition to treatment, national attention to racial justice and justice has also increased.
Read also: FedEx cuts sales forecast by half, warns of global recession
The Amazon Labor Union
In early 2022, workers at a warehouse in Staten Island, New York, made history by voting to form Amazon’s first US union.
Meanwhile, another union election is scheduled to be held at an Amazon factory near Albany, New York, next month.
Workers at this facility hope to join the Amazon Labor Union, the same grassroots group of workers that thrived on Staten Island.
Through organizing efforts, Amazon workers are demanding higher wages, better working conditions, job security, and a greater voice in the workplace.
Read also: Possible rail strike leads to Washington meeting with railroad union officials
Additional programs
Amazon’s announcement on Wednesday didn’t just cover the wage increase.
The company also announced that it is expanding Anytime Pay, its paid access program, to all employees in the United States.
The program allows Amazon employees to access more than 70% of their eligible earned wages.
Employees can use the program for free at any time of the month. In the past, Amazon employees only received pay once or twice a month.
Reference:
Amazon raising hourly pay for warehouse and delivery workers
