Amazon boosting workers' minimum wage to $15 an hour

Amazon bumps US minumum wage to $15 amid tight labour market

Amazon announced on Tuesday (October 2) that they will be raising the minimum wage for their US full-time, part-time, seasonal and temporary employees to $15 starting on November 1.

The new floor, which will take effect November 1, applies to more than 250,000 employees who work in the company's network of warehouses, logistics depots and customer service call centers, as well as the more than 100,000 temporary hires the company brings on to handle the holiday season's uptick in orders.

The title of the proposed legislation took aim at Amazon CEO Jeff Bezos: the Stop Bad Employers by Zeroing Out Subsidies (BEZOS) Act. This move is likely an attempt to calm down lawmakers and get them to change tunes, as Sander's plan was to "give large, profitable employers a choice: Pay workers a living wage or pay for the public assistance programs their low-wage employees are forced to depend upon".

But the company isn't stopping with raising its own minimum wage. Bezos' acknowledgment that Amazon took a look at itself and decided it would change is a major win for Amazon's critics and employees, but it's also a win for Amazon. The hourly minimum wage in the London area will rise to 10.50 pounds ($13.60), and 9.50 pounds in the rest of the United Kingdom, affecting some 37,000 current and seasonal employees, according to a separate statement.

Amazon said it doesn't expect to raise prices for its products to pay for the wage increases.

Amazon (NASDAQ:AMZN) today announced that it would be raising the minimum wage for all USA positions to $15 an hour starting November 1st.

Amazon's pay varies by location, so the increase could be between $3 and $5 an hour, depending on the state.

That has included several fatalities, including one in 2013 when a conveyer system crushed a temporary worker in a New Jersey warehouse, according to the US Occupational Safety and Health Administration (OSHA).

"We will be working to gain Congressional support for an increase in the federal minimum wage". It should also put the pressure on other retailers to at least match Amazon's minimum wage pledge if they aren't doing so already.

The company has a history of complaints about gruelling workplace conditions and lower wages, and has had to deal with lawsuits, picketing and issues with management tactics.

Amazon has been criticised for years over the state of working conditions in its 140 fulfillment centres around the world, including extensive and invasive security checks and being prevented from using the toilet. "That is absurd", Sanders said.

"Amazon is proud to have created over 130,000 new jobs a year ago alone", the Amazon blog post said in August.

In a 2015 article in The New York Times, employees described a "soulless, dystopian" work environment of long hours and and a lack of empathy for employees' health-related issues.

In a memo to employees, he promised to address the situation.

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