Amazon is offering a steep increase in pay for some of its frontline workers who choose to put in additional hours during the upcoming holiday shopping season.
Through a new incentive program, called Avalanche, Amazon frontline workers at select warehouses will be eligible for an additional $10 in hourly pay, on top of their base pay, for up to 4 additional hours per shift, according to an internal memo obtained by Insider.
Amazon has long offered a host of incentives to attract more workers during the all-important holiday shopping period. But Avalanche stands out for its lofty premium of $10 per hour, which is nearly 50% higher than the $20.50 average hourly pay Amazon’s frontline workers receive.
“Avalanche allows you to pick up Voluntary Extra time (VET) shifts that offer a Peak High Demand Premium,” the memo said. “Avalanche VET opportunities will receive a $10 premium in addition to base pay, and are no more than 4 hours in length.”
The aggressive pay bump suggests either Amazon is seeing bullish demand ahead of this year’s holiday season, or it’s struggling to hire enough people at its warehouses. In September, Amazon said it planned to hire 250,000 seasonal workers for the holidays, and invest $1.3 billion toward their pay increases. That was a major bump from last year when Amazon said it would hire 150,000 additional frontline workers during the crucial holiday shopping period.
In an email to Insider, Amazon’s spokesperson, Sam Stephenson, confirmed the existence of the Avalanche incentive program, but said it’s unrelated to any change in shopper demand. It is simply “one of many programs” that Amazon offers its frontline workers during the holidays, and it’s only available at select facilities, Stephenson added.
“This incentive is about providing our employees at select fulfillment centers with additional options for the next few weeks. Any suggestion otherwise is just not true,” Stephenson said.
As of the end of September, Amazon employed a total of 1.5 million people globally. Amazon previously said it has invested more than $10 billion in hourly pay over the last five years, with employees earning between $17 and $28 per hour depending on position and location in the US.
Do you work at Amazon? Got a tip?
Contact the reporter Eugene Kim via the encrypted-messaging apps Signal or Telegram (+1-650-942-3061) or email ([email protected]). Reach out using a nonwork device. Check out Business Insider’s source guide for other tips on sharing information securely.
Read the full article here