Amazon, anticipating a surge in demand just before Christmas, plans to increase compensation for its operations employees in the United Kingdom and hire an additional 15,000 individuals.
Preparations Ahead of Holidays
Frontline operations employees--those who select, pack, store, and transport products in the business' warehouses--will get a basic pay raise to between £11.80 ($14.39) and £12.50 (depending on region) per hour, the company said on Monday, October 9. The raise goes into effect on October 15 for all employees, whether they are full-time, part-time, temporary, or seasonal.
Amazon has promised to raise its employees' hourly wage to between £12.30 ($15.01) and £13 ($15.87) by April 2024. This range will depend on the employee's area.
While this is going on, Amazon has announced that it will be hiring over 15,000 new seasonal employees at its various locations around the UK. Apparently, this implies a pay investment of $170 million for the company.
The e-commerce firm also notes that this will result in a 20% boost in basic pay for its UK businesses in only two years and a 50% increase since 2018.
John Boumphrey, Amazon's country manager in the UK, stated, "We have some of the most talented colleagues around, and we're proud to offer them competitive wages and benefits, as well as fantastic opportunities for career development, all in a safe and modern work environment."
However, according to CNBC, the GMB Union issued a statement on Monday saying the news will provide "little comfort" to Amazon employees who already endure low wages, hazardous working conditions, and constant monitoring of their every move.
Rachel Fagan, a GMB organizer, said in a statement released, "Amazon has spent millions fighting their own workers over union rights and fair pay. GMB members have forced a pay rise from one of the world's most powerful corporations - but Amazon can and must do better."
To Inspire Global Unionization Wave
Amazon is attempting to satisfy warehouse employees who have been protesting about low pay and unsafe working conditions.
Workers at Amazon's fulfillment facility in Coventry organized the first lawful UK walkout at the firm in January. Together with GMB Union, they put in a proposal to have the company's first union in the UK be recognized by the law. This comes at a time when unionization efforts among Amazon employees are on the rise.
The first organized strike in the UK occurred in January at an Amazon facility in the city of Coventry. Employees feel they have not gotten sufficient compensation increases. The workers have asked for union status so that they may all negotiate pay with Amazon.
However, earlier this year, the unionization efforts of Amazon employees were given a setback when an independent arbitration commission agreed with Amazon and concluded that the workers lacked the necessary support to attain union status.
