Amazon raises overtime pay for warehouse workers
Amazon.com Inc said on Saturday it is raising overtime pay for associates working in its U.S. warehouses as the world's largest online retailer tries to meet the rapidly growing demand for online shopping from consumers stuck at home during the coronavirus outbreak.
Chief Executive Officer Jeff Bezos, the world's richest person, also said on Saturday, "My own time and thinking is now wholly focused on COVID-19 and on how Amazon can best play its role," according to a message posted on a company website.
Hourly workers at Amazon's U.S. warehouses will receive double pay after 40 hours for overtime, up from the 1.5-times rate, from March 15 through May 9, the rate increase announcement said.
This is the second time the e-commerce giant announced an increase in pay for its workers in a week. On Monday, Amazon hiked the minimum hourly rate for associates to $17 from $15 and announced plans to hire 100,000 warehouse and delivery workers in the United States as the virus outbreak boosts online orders.
As the virus spreads across the U.S., Amazon has offered unlimited unpaid time off to encourage employees to stay home if they do not feel well. It has also staggered workers shifts and prohibited employees from sitting next to each other in the lunchroom to limit contact.
But four Democratic U.S. senators, including Cory Booker and Bernie Sanders on Friday expressed concern in a letter to Bezos that Amazon has not taken enough measures to protect its warehouse staff. They specifically asked if the company would provide time-and-a-half hazard pay for its workers.
In response to Saturday's wage news, one of the letter's signatories, Senator Robert Menendez said he applauded the decision but that Amazon still had work to do to protect employees.
Bezos said in Saturday's online post that Amazon has ordered "millions" of face masks for its on-site staff, but few have been filled because the masks are in low supply and are first going to hospitals at governments' directions.