Amazon to end wage increases and double overtime pay in June

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Amazon is once again extending wage increases and doubling overtime pay for workers until May 30, but both policies will end in June.

In March, Amazon announced that it would increase hourly wages and provide overtime to warehouse and delivery workers. He then extended these benefits until May 16. However, Amazon will not extend these policies beyond May 30, the company said.

“We are grateful to the associates who support customers during a period of increased demand and return to our regular salary and overtime at the end of the month,” said a company spokesperson. Information about the extension and the end date were previously Recode.

Workers can earn $ 2 more in the United States, £ 2 ($ 2.47) an hour in the United Kingdom, and about 2 euros ($ 2.16) an hour in many countries in the United States. EU. Amazon currently pays $ 15 per hour or more in some areas of the United States for warehouse and delivery work. Any employee working overtime in their US warehouses will earn double their hourly wages.

Although Amazon has extended the risk premium for workers, it continues to be criticized for its decision to end its policy of unlimited leave without pay. Warehouse workers had previously told CNBC that the policy was a valuable resource for them during the pandemic, as it allowed them to stay home without pay and not be punished for missing their work shift.

The spokesperson said Amazon continues to provide flexibility to employees with its leave options, which have recently been extended to accept applications from “high-risk people” or workers affected by school closings.

Tensions have increased between Amazon and warehouse workers across the country, as the number of confirmed cases and deaths at its facilities has increased. Warehouse workers asked the company to put in place better security protections, including providing paid sick leave and closing facilities where there are positive cases of additional cleaning.

Amazon said it would invest its expected profits of $ 4 billion in the second quarter in coronavirus-related efforts, such as wage increases, the purchase of additional safety equipment for workers, and capacity building coronavirus testing, among others. A spokesperson said the company spent nearly $ 800 million to raise the wages of hourly workers and partners during the Covid-19 crisis.

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