As we have reported in the last few days, Amazon is one of the e-commerce retailers that is facing a huge demand in their online orders. This is so intense a situation that Amazon has had to curb its earnings and decide that they will only deliver essential items to people since those orders are exceeding expectations. It is likely the first time that Amazon has had to tell its sellers to stop shipping products to their warehouses as they will not be able to deliver them. Also, one report says that Amazon orders which are not in the essential item’s category are now delayed by up to a month which is unprecedented.
Also, Amazon has announced hiring of 100k workers across the world so that it can cope up with the demands of online orders and deliver them to people on time. But this also means that Amazon will have to do something more to bring more and more employees to work. And that is the reason why we are getting a new report where Amazon is said to be raising pay for its employees who are working overtime to complete the backlog of orders.
As per the announcement from Amazon, Hourly workers at the warehouses will receive double pay after 40 hours for overtime, up from the 1.5-times rate, from March 15 to May 9. This is also the second time in a week that Amazon has announced the raising of overtime pay for its employees. While this is likely to put a strain on Amazon’s earnings, it is doing its best to serve the people during these testing times. Amazon’s new overtime pay for its workers will be $17 now which was $15 earlier. Also, workers can take an unlimited off without pay which is to let employees stay at home if they are not feeling well.