Amazon boosts max base pay for corporate workers to $350,000 as labor market heats up

The Amazon headquarters sits about empty on March 10, 2020 in downtown Seattle, Washington. In reaction to the coronavirus outbreak, Amazon recommended all employees in its Seattle office to work from home, leaving much of downtown about null of people. Amazon is boosting its maximum floor wage for corporate workers, citing the competitive labor market as one of several factors behind the change. The company said Monday in an inner memo to employees that it will now cap infrastructure wage for all white-collar workers at $ 350,000, a significant jumpstart from its former soap of $ 160,000.

Base pay is lone a helping of employees ‘ sum compensation. This figure does not include restricted stock units, which typically vest in increments over respective years, adenine well as other cash, such as sign-on bonuses. The party ‘s recompense has historically been weighted heavy to broth. “ This past year has seen a particularly competitive labor market, and in doing a exhaustive psychoanalysis of versatile options, weighing the economics of our occupation and the need to remain competitive for attracting and retaining top endowment, we decided to make meaningfully bigger increases to our compensation levels than we do in a distinctive year, ” according to the memo, which was inaugural reported by GeekWire. An Amazon spokesperson confirmed the authenticity of the memo, but declined to comment further.

In summation to increasing base pay, Amazon said it ‘s besides increasing overall recompense ranges for most jobs globally, and “ the increases are a lot more considerable than we ‘ve done in the past, ” according to the memo. The changes come as Amazon has increasingly come under fire from employees for what they see as below-market pay. Base pay was recently labeled as one of the top reasons for employees wanting to depart the company, Business Insider reported last calendar month, citing home surveys.

rival for undertaking is more intense than ahead, particularly as the coronavirus pandemic has afforded workers greater leverage to demand better benefits and pay. More and more companies are besides offering elastic work arrangements, such as distant or hybrid employment. That ‘s led Amazon and other technical school companies to admit that failing to offer those benefits could potentially hurt their ability to attract or retain talent. Amazon did not rank among the clear seven employers for technology give last year, according to Levels.fyi, which tracks pay in the technical school diligence. A top-level engineer at Roblox could make more than $ 1 million, while one at Facebook could pull over $ 900,000, although these figures include all forms of compensation, not just base pay up. WATCH: How the U.S. economy can survive a loanblend work force

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