On Wednesday, Amazon''s warehouse and transportation workers will receive an average starting salary of more than $19 (roughly Rs. 1,560) per hour, according to the world''s largest online retailer.
As the peak season for gifting approaches, a wage hike will help the company attract and retain employees.
Over the next year, Amazon forecasts pay increases to cost the company about $1 billion (roughly Rs. 8,200 crore).
According to the company, employees will now earn between $16 (roughly Rs. 1,300) and $26 (roughly Rs. 2,100) per hour depending on their location and location in the United States.
The minimum wage for hourly employees in the United States is $15 (approximately Rs. 1,200), according to a spokesperson.
The decision by the online retailer comes as some employees continue to push to unionizeAmazon facilities in the United States. There has only one Amazon facility that has approved to unionise so far.
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As workers seek higher salaries to manage the rising labor costs, the company is dealing with rising inflation and increased employee turnover.
Amazon employed over 1.5 million full-time employees worldwide from the 30th to 30th of June, with a majority of employees in the United States.
Amazon announced a number of voice-controlled devices on Wednesday, as well as a new e-reader for users to write on, and a contactless device that may monitor people''s sleep.