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[Update]Amazon institutes $15 minimum wage for all US employees AND eliminates monthly bonuses and Stock Grants

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Previously on LTT Forums Tech News:

Amazon releases an aggressive anti-union video. The internet gets super triggered and demands answers.

 

Current News:

Amazon has instituted a $15 minimum wage for all US employees including temp employees.

 

This move may be an effort to backpedal and make ammends after the internet got wind of Amazon trying to prevent unionization and denying employees fair wages and working conditions.

 

Quote

Amazon announced today that it will raise its minimum wage for all US employees to $15 per hour. The change will take effect on November 1 and will apply to full-time, part-time, temporary, and seasonal workers. Overall, more than 250,000 Amazon workers will get a pay raise from this, in addition to more than 100,000 seasonal employees that the company hires at various times throughout the year.

 

Amazon also wants to earn brownie points by lobbying to increase the federal minimum wage which is still only $7.25 per hour.

 

Quote

The company's public policy team will also be advocating for an increase in the federal minimum wage, which is currently $7.25 per hour. The federal minimum wage hasn't risen since 2009.

Amazon employee pay depends heavily on location: hourly workers in some areas of the country get paid $10 per hour while others are already making more than $15 per hour (employees who fall into the latter category can expect to see a slight pay bump as well).

 

Quote

Currently, the median annual income for an Amazon employee is just under $28,500.

The retail giant has faced criticism for not paying its workers enough, especially in light of Bezos' immense wealth—he's currently considered the richest person in the world, with a net worth of about $165 billion. Last month, Senator Bernie Sanders (I-Vt.) introduced legislation that would tax businesses for the cost of employees' food stamps and other assistance programs. The bill's name is a dig at Bezos himself—"Stop Bad Employers by Zeroing Out Subsidies Act," or the Stop BEZOS Act.

Amazon isn't the only company making moves to raise wages for its employees. Target recently vowed to raise its minimum wage to $15 per hour by 2020. Walmart announced back in January that it plans to raise its minimum wage to $11 per hour.

Amazon's announcement comes nearly one month after the company reached a big milestone: a market value of $1 trillion. It hit that mark on September 5, just weeks after Apple became the first company to ever reach a $1 trillion valuation.

 

Well, increasing minimum wage either in a company or on a country level is great but there are some potential negatives.

 

If Amazon does convince congress to increase federal minimum wage, it's possible that many people currently being paid that little could lose their jobs as it may no longer make sense to hire some individuals for a job at that wage.

 

More money is always better but advocating for a higher federal minimum wage could probably do more harm than good so I hope Amazon drops it.

 

Edit:

 

It would appear that Amazon has also eliminated monthly bonuses and Stock grants as well with many employees actually saying they will be losing money and not earning more than they did previously.

 

Quote

Several Amazon warehouse employees have criticized the move, stating they would actually be losing thousands in incentive pay. Currently, warehouse workers get two shares of Amazon stock when they’re hired ($1,952.76 per share as of writing), and an additional stock option each year. After the changes take effect, the RSU program will be phased out for stocks that vest in 2020 and 2021, and it will be replaced with a direct stock purchase plan by the end of next year.

An Amazon warehouse worker told The Verge via email that the news was devastating to fulfillment employees, many of whom depend on their RSU and VCP (variable compensation pay, a performance-based monthly bonus program) incentives on top of their hourly wages. VCP incentives, which are dependent on good attendance and hitting productivity targets, could get Amazon workers an 8 percent monthly bonus, and a 16 percent bonus during the peak November and December seasons.

 

This definitely isn't right and is Amazon and their greed trying to take over. Stop BEZOS Act definitely necessary now.

 

Source:

https://arstechnica.com/information-technology/2018/10/a-15-minimum-wage-comes-to-all-us-amazon-employees-starting-november-1/

https://www.theverge.com/2018/10/3/17934194/amazon-minimum-wage-raise-stock-options-bonus-warehouse

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Didn't they also cut out bonuses and stock benefits for all hourly employees when they did this?

 

 

https://www.theverge.com/2018/10/3/17934194/amazon-minimum-wage-raise-stock-options-bonus-warehouse

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If a company can increase wages to $15/hour across the board without any major issues propping up from doing so, then perhaps there's no reason to not increase the minimum wage to $15/hour after all.

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Not a politics forum so I'll stow my rant, but good on Amazon

 

Also, glad to see AluminumTech News returns

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1 minute ago, NowakVulpix said:

If a company can increase wages to $15/hour across the board without any major issues propping up from doing so, then perhaps there's no reason to not increase the minimum wage to $15/hour after all.

Most companies can't.

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1 minute ago, OrbitalBuzzsaw said:

Not a politics forum so I'll stow my rant, but good on Amazon

They appear to also be cutting back benefits and stock options for employees so wow -_-.

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Just now, AluminiumTech said:

They appear to also be cutting back benefits and stock options for employees so wow -_-.

Their compensation scheme is apparently so opaque that it's unclear whether said benefits existed in the first place

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6 minutes ago, NowakVulpix said:

If a company can increase wages to $15/hour across the board without any major issues propping up from doing so, then perhaps there's no reason to not increase the minimum wage to $15/hour after all.

See above for issues arising out of this.

Judge a product on its own merits AND the company that made it.

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13 minutes ago, AluminiumTech said:

See above for issues arising out of this.

...Of course there'd be a catch.

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17 minutes ago, OrbitalBuzzsaw said:

Their compensation scheme is apparently so opaque that it's unclear whether said benefits existed in the first place

Not sure where you got that, It is clearly outlined at the time you're hired there...well it was. Performance bonuses and stock options are no longer going to be a thing. I guess that makes it easier on Amazon...might even be cheaper for them not to offer such benefits. Employees benefits are extremely expensive. Like I said in a similar recent thread, Amazon was already paying significantly more than federal minimum wage at the warehouse near me.

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3 minutes ago, NowakVulpix said:

...Of course there'd be a catch.

Well, they could have just kept the benefits and increased their internalized minimum wage. That way nobody would have been negatively affected.

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18 minutes ago, NowakVulpix said:

If a company can increase wages to $15/hour across the board without any major issues propping up from doing so, then perhaps there's no reason to not increase the minimum wage to $15/hour after all.

*uses second trillion dollar company as the metric for the entire country*

 

Yeah...this will work out great xD

If this were to happen I forsee a large uptick in the unemployment rate. $15 an hour puts the cost of an employee for just wages at $31,200 annually. For that price per employee you're looking at a whole lotta automation implementation.

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I'm surprised no one posted a thread before, this happened like 5 days ago. I think it's Bezos' way of getting that little "fuck you" in. He's a business man, he got this rich by being ultra-capitalist, he's gives to charity but he's not so generous as to let them have their cake and eat it too.

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20 minutes ago, AluminiumTech said:

That way nobody would have been negatively affected.

...except Jeff Bezo$

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56 minutes ago, AluminiumTech said:

This move may be an effort to backpedal and make ammends after the internet got wind of Amazon trying to prevent unionization and denying employees fair wages and working conditions.

You have any evidence about that?

 

The Increased Wages might be because of minimum wage laws in some areas, that want 15 Dollars per hour...

 

And that isn't really a good idea and the result of that is that they scrapped additional benefits or bonuses because of this regulation...

 

While it would be nice that everyone would get 15 or 20€/h, it is just not possible or viable to do.

Because some jobs are just not that valuable or deserving to get that much money...

IF you have to pay someone that high, the jobs will be scrapped or replaced by automation...

 

That is the price you have to pay for that...

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2 minutes ago, Stefan Payne said:

You have any evidence about that?

Throughout the industry it's been known that ex-Amazon employees tell horror stories of what it's like to work at Amazon with everything from being forced to pee in plastic bottles to all kinds of other stuff.

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6 minutes ago, Stefan Payne said:

You have any evidence about that?

 

The Increased Wages might be because of minimum wage laws in some areas, that want 15 Dollars per hour...

 

And that isn't really a good idea and the result of that is that they scrapped additional benefits or bonuses because of this regulation...

 

While it would be nice that everyone would get 15 or 20€/h, it is just not possible or viable to do.

Because some jobs are just not that valuable or deserving to get that much money...

IF you have to pay someone that high, the jobs will be scrapped or replaced by automation...

 

That is the price you have to pay for that...

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1 hour ago, AluminiumTech said:

Previously on LTT Forums Tech News:

Amazon releases an aggressive anti-union video. The internet gets super triggered and demands answers.

 

Current News:

Amazon has instituted a $15 minimum wage for all US employees including temp employees.

 

This move may be an effort to backpedal and make ammends after the internet got wind of Amazon trying to prevent unionization and denying employees fair wages and working conditions.

 

 

Amazon also wants to earn brownie points by lobbying to increase the federal minimum wage which is still only $7.25 per hour.

 

 

 

Well, increasing minimum wage either in a company or on a country level is great but there are some potential negatives.

 

If Amazon does convince congress to increase federal minimum wage, it's possible that many people currently being paid that little could lose their jobs as it may no longer make sense to hire some individuals for a job at that wage.

 

More money is always better but advocating for a higher federal minimum wage could probably do more harm than good so I hope Amazon drops it.

 

Edit:

 

It would appear that Amazon has also eliminated monthly bonuses and Stock grants as well with many employees actually saying they will be losing money and not earning more than they did previously.

 

 

This definitely isn't right and is Amazon and their greed trying to take over. Stop BEZOS Act definitely necessary now.

 

Source:

https://arstechnica.com/information-technology/2018/10/a-15-minimum-wage-comes-to-all-us-amazon-employees-starting-november-1/

https://www.theverge.com/2018/10/3/17934194/amazon-minimum-wage-raise-stock-options-bonus-warehouse

Amazon lobbying to increase minimum wage is a bid to shut down competition :P there should be no minimum wage at all. 

 

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Hey hey, as I'm applying to work for Amazon, this is great for me as that would mean my hourly wage goes from £9.76 to £11.26 (note, this is evening/night price). 

Looking at my signature are we now? Well too bad there's nothing here...

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

What? As I said, there seriously is nothing here :) 

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6 minutes ago, Mr.Meerkat said:

Hey hey, as I'm applying to work for Amazon, this is great for me as that would mean my hourly wage goes from £9.76 to £11.26 (note, this is evening/night price). 

OOof. Amazon probably one of the worst places to work.

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7 minutes ago, Mr.Meerkat said:

Hey hey, as I'm applying to work for Amazon, this is great for me as that would mean my hourly wage goes from £9.76 to £11.26 (note, this is evening/night price). 

Also, non US Employees aren't getting a raise afaik.

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1 minute ago, AluminiumTech said:

OOof. Amazon probably one of the worst places to work.

idk if it is or whether the media are demonising them. 

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11 minutes ago, AluminiumTech said:

Also, non US Employees aren't getting a raise afaik.

Well Amazon UK is giving UK employees a raise in next month (I think?) so that isn't quite true ;). Of course, the UK raise most likely has nothing to do with the US raise but still, its happening at a very similar timeframe. 

Looking at my signature are we now? Well too bad there's nothing here...

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

What? As I said, there seriously is nothing here :) 

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I'm not sure how i feel about this.

 

On one hand a higher minimum wage is good...but at the expense of benefits if not great.

 

They should give their employees the option for what suits them best

  1. higher wage, no benefits.
  2. Keep the same that they have

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