Amazon has announced its goal of hiring 250,000 workers in the United States during the 2024 holiday season, matching its target from the previous year. These positions will include full-time, part-time, and seasonal roles in the company’s fulfillment and transportation operations. Sandy Gordon, a vice president at Amazon, stated that the average base pay for U.S. hourly workers has increased to more than $22/hour, with seasonal workers earning at least $18/hour and having access to health-care benefits from their first day on the job.
Amazon highlights that seasonal work often leads to long-term employment, with seasonal employees who stay on with the company experiencing an average pay increase of 15% within their first three years of employment. Other major retailers, such as Target, are also planning to hire a significant number of seasonal employees. Target announced that it planned to hire 100,000 seasonal employees, the same number as in the past two years. In total, Amazon employed 1.54 million people as of June 2024, including corporate, tech, warehouse, and transportation employees, marking a 5% increase from the previous year but still below its peak of over 1.62 million employees two years ago.
Economists are offering a mixed outlook for the holiday season in the retail sector. Adobe predicts that U.S. seasonal online sales will increase by 8.4% to over $240 billion, which is double the growth rate from the previous year. However, these sales gains may result from heavy discounting following a period of persistent inflation. The labor market and the rise of robotics are also influencing changes in seasonal hiring practices. Andrew Challenger of outplacement firm Challenger, Gray & Christmas, Inc., suggests that industries like transportation, shipping, and warehousing may not experience the same level of seasonal hiring due to ongoing staffing stabilization and increased automation.
Overall, Amazon’s hiring plans align with its continued growth and commitment to providing competitive pay and benefits to its employees. The increase in the average base pay for U.S. hourly workers, along with access to health-care benefits for full-time seasonal workers, reflects the company’s efforts to attract and retain talent during the busy holiday season. With a focus on expanding its workforce while adapting to shifting market conditions and technological advancements, Amazon remains a major player in the e-commerce and retail industry. As the holiday season approaches, businesses are preparing for fluctuations in consumer demand and sales trends, with the potential for increased online shopping and the ongoing impact of inflation on pricing strategies.
