Readers Respond: Amazon and wages
Retail giant Amazon.com is raising the minimum wages it pays its employees. And about half of the respondents to the latest HBSDealer poll believe they'll see some impact on their business as a result of the move.
The online giant announced that it will increase its minimum wage to $15 for all full-time, part-time and temporary employees across the United States. The wage hike, which goes into effect on Nov. 1, will benefit more than 250,000 existing Amazon employees, and more than 100,000 seasonal employees that the company plans to hire for the holiday season.
HBSDealer asked "Will [Amazon's raise to $15 per hour] have any impact on your business?"
Here are the responses:
• "Yes. It just got harder to higher low-wage employees." -- 57 votes
• "No. There's no overlap in our workforces." -- 41 votes
• "Maybe a little. And only during the holidays." -- 18 votes.
Analyst Neil Saunders, managing director of GlobalData Retail, said that while Amazon’s wage hike was politically savvy, it was driven by economic imperatives.
“Amazon’s superior growth necessitates a lot of recruitment which is becoming increasingly difficult in a tight labor market,” he commented. “This is especially so over the holiday season. Without a rise in wages, Amazon would be placing itself at a disadvantage in the labor market.”
The wage move raises the question: what does this mean to you and your business? HBSDealer's current poll question specifically asks: "Amazon raised its minimum wage to $15 per hour. Will that have any impact on your business?" Take the poll on the right side of the screen (or scroll down your mobile device.)
See the poll archive here. And as always, your comments are encouraged. Write to us here.
The online giant announced that it will increase its minimum wage to $15 for all full-time, part-time and temporary employees across the United States. The wage hike, which goes into effect on Nov. 1, will benefit more than 250,000 existing Amazon employees, and more than 100,000 seasonal employees that the company plans to hire for the holiday season.
HBSDealer asked "Will [Amazon's raise to $15 per hour] have any impact on your business?"
Here are the responses:
• "Yes. It just got harder to higher low-wage employees." -- 57 votes
• "No. There's no overlap in our workforces." -- 41 votes
• "Maybe a little. And only during the holidays." -- 18 votes.
Analyst Neil Saunders, managing director of GlobalData Retail, said that while Amazon’s wage hike was politically savvy, it was driven by economic imperatives.
“Amazon’s superior growth necessitates a lot of recruitment which is becoming increasingly difficult in a tight labor market,” he commented. “This is especially so over the holiday season. Without a rise in wages, Amazon would be placing itself at a disadvantage in the labor market.”
The wage move raises the question: what does this mean to you and your business? HBSDealer's current poll question specifically asks: "Amazon raised its minimum wage to $15 per hour. Will that have any impact on your business?" Take the poll on the right side of the screen (or scroll down your mobile device.)
See the poll archive here. And as always, your comments are encouraged. Write to us here.