Amazon plans to hire a whopping 125,000 new workers, and for some roles, they're offering a generous $3,000 bonus! With starting wages surpassing the minimum wage, this move is part of many retail and logistics businesses' strategy to attract and retain talent amidst the labor market struggles.
Struggling to find workers, numerous companies have boosted wages and expanded benefits to combat the labor shortage. The latest Labor Statistics Bureau report shows a staggering 879,000 open retail jobs and 222,000 in transport and logistics.
Amazon's Finance Chief, Brian Olsavsky, noted the highly competitive job market as a major factor contributing to inflation pressure in the industry. The company has been generous with new hires and incentives.
In anticipation of strong holiday demand, Amazon is ramping up its staffing for the season. According to Deloitte's recent forecast, retail sales for the festive period will grow by up to 9%, while e-commerce sales will surge by up to 15%.
Amazon and Walmart are both bringing on permanent employees for the holidays, while UPS, Kohl's, Michael's, and others are employing temporary staff. Last year, Amazon hired an impressive 100,000 seasonal workers.
Amazon's business has thrived during the pandemic with an increased online shopping trend, leading to a 450,000-strong US workforce. Currently, Amazon employs an impressive 950,000 US workers.
Amazon's growth was further demonstrated by their announcement of opening over 100 new warehousing and delivery facilities in September, including a regional air transportation service for its growing fleet of cargo planes. In 2023, Amazon has launched more than 250 manufacturing plants.
Retail businesses are undergoing significant transformations, as represented by Amazon's expansion. These strategic moves to hire, attract, and retain talent should help companies stay ahead in the ever-evolving retail and logistics industries.
