Get all your news in one place.
100’s of premium titles.
One app.
Start reading
Tribune News Service
Tribune News Service
Business
Matt Day

Amazon raises starting wage for its workers to $15 an hour

SEATTLE _ Amazon is rolling out a $15-an-hour minimum wage for all of its U.S. employees, a response to criticism that the company was profiting from work done by low-paid workers even as founder Jeff Bezos became the world's richest man.

The new floor, which will take effect Nov. 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 plight of those workers has been a public relations headache for the company for years, with media reports regularly finding grueling working conditions. Vermont Sen. Bernie Sanders in recent months added his voice to the criticism, targeting the company and its leader by name with legislation that would tax companies the cost of the food stamps and other federal assistance provided to their employees.

"We listened to our critics, thought hard about what we wanted to do, and decided we want to lead," Bezos said in a statement on Tuesday announcing the change. "We're excited about this change and encourage our competitors and other large employers to join us."

The company didn't say how many workers were making less than $15 an hour.

In response to Sanders and other critics, Amazon had previously said employees in its warehouses were paid an average of $15 if stock-based compensation and bonuses were included, without breaking out their underlying hourly wage. Starting wages were lower, according to Amazon's own job postings, with job listings at more than 80 facilities so far this year indicating average starting pay of about $12.75 an hour, and as low as $10 an hour.

All hourly U.S. employees in operations and customer service jobs, including those who made more than $15 an hour, would receive a pay bump in November, a spokeswoman said.

Delivered bright and early weekday mornings, this email provides a quick overview of top stories and need-to-know news.

The company said it would also begin lobbying for an increase in the $7.25-an-hour federal minimum wage.

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.