Business Day

Amazon to hire 75,000 workers

- Matt Day

Amazon.com says it will expand its hiring spree by an additional 75,000 workers as it shores up its logistics operation to meet demand from people hunkered down at home.

Amazon.com says it will expand its hiring spree by an additional 75,000 workers in the US as the online retailer shores up its logistics operation to meet demand from people hunkered down at home because of the coronaviru­s pandemic.

Amazon said on Monday it had already filled 100,000 previously announced temporary and full-time positions. The hiring spree and a temporary $2-an-hour wage boost would likely cost more than $500m, up from a prior estimate of $350m, the company said.

Online shopping has surged, particular­ly for staples such as toilet paper and groceries, and Amazon and its expansive warehousin­g and delivery operation have become lifelines for shoppers who can not venture out in person.

Even as some of Amazon’s rival technology giants withdraw earnings guidance or warn about uncertain demand during the pandemic, analysts said Amazon stood to gain from shopping trends brought on by the virus. The company has kept its doors open as statemanda­ted closures of nonessenti­al businesses shutter speciality physical retail storefront­s across the US and Europe.

Meanwhile, Amazon is struggling with outbreaks of Covid-19 in its own ranks, with cases at dozens of sites around the US, according to employees and media reports.

THE HIRING SPREE AND A TEMPORARY $2-AN-HOUR WAGE BOOST IS EXPECTED TO COST THE COMPANY MORE THAN $500M

Some workers said Amazon’s hiring has helped the company fill roles of employees who had stopped coming to work out of fear of contractin­g or spreading the virus. Amazon said employees could stay at home without fear of terminatio­n or discipline, and interviews with workers at sites across the country suggest many were not showing up for work.

Amazon also said it had rolled out more intense cleaning and hygiene measures at its facilities, including temperatur­e screenings and reorganise­d break rooms to encourage social distancing. Still, employees are getting sick as the pandemic spreads, and some have raised concerns that Amazon is not doing enough to keep them safe.

Workers at Amazon warehouses in New York, Michigan and Illinois have staged walkouts demanding the company close their facilities for extended cleaning.

The Occupation­al Health and Safety Administra­tion last week said it was investigat­ing working conditions at an Amazon warehouse in eastern Pennsylvan­ia where at least 21 employees were diagnosed with Covid-19.

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