Challenge industry minimum wage? Bezos raised minimum hourly wage to $15

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 Challenge industry minimum wage? Bezos raised minimum hourly wage to $15


Netease Technologies News, April 11, according to foreign media reports, Amazon CEO and founder Jeff Bezos challenged major retailers in his annual letter to shareholders, urging them to raise the minimum hourly salary of employees and asking their retail counterparts to raise their minimum hourly salary by more than $15.

At the end of last year, Amazon raised its minimum hourly wage for employees in the United States to $15. Of course, the move was due to Amazons earlier cuts in employee benefits and stock awards, and a corresponding reduction in some employeessalaries, leading to Amazon announcing further hourly pay increases. Nevertheless, Amazons behavior is a step forward in the United States, where the minimum hourly wage is $7.25.

In a letter to shareholders, Bezos wrote: Today, I challenge our top retail competitors to match their pay levels with our employee benefits and the minimum hourly salary of $15. Its better to raise the minimum hourly wage to $16 and challenge us. Its a competition thats good for everyone.

Target, the second largest retailer in the United States, plans to raise its minimum hourly wage from $12 to $13 by June this year and to $15 by the end of 2020. Wal-Marts minimum salary is $11 an hour. In March, the market announced that it would raise its minimum wage to $15 an hour, mostly on the grounds of increased sales. All these measures are more or less affected by the fierce competition in the employment market, with the current unemployment rate in the United States at 3.8%.

Because it is more difficult to find and retain employees, all retailers have to increase their employeespay. Wal-Mart is particularly sensitive to this. Wal-Marts retail outlets require huge administrative costs, while it employs more than 1.5 million people in the United States and more than 2.2 million people worldwide. By contrast, Amazons pay rise last year benefited 350,000 employees. The difference in employee size and management costs is also part of the reason Amazon is able to raise salaries more actively. The smart thing about Bezoschallenge today is that he is a winner anyway. If other competitors can raise their minimum hourly salary to $15 an hour, they can claim that Amazon compelled them to do so; if they exceed that figure, it means that Amazons employees suddenly pay less than their competitors; if no other company makes concessions, Amazon will claim to have a higher minimum salary than its competitors, which will occupy it. The moral commanding heights. Source of this article: Liable Editor of Netease Science and Technology Report: Qiao Junjing_NBJ11279

Because it is more difficult to find and retain employees, all retailers have to increase their employeespay. Wal-Mart is particularly sensitive to this. Wal-Marts retail outlets require huge administrative costs, while it employs more than 1.5 million people in the United States and more than 2.2 million people worldwide. By contrast, Amazons pay rise last year benefited 350,000 employees. The difference in employee size and management costs is also part of the reason Amazon is able to raise salaries more actively.

The smart thing about Bezoschallenge today is that he is a winner anyway. If other competitors can raise their minimum hourly salary to $15 an hour, they can claim that Amazon compelled them to do so; if they exceed that figure, it means that Amazons employees suddenly pay less than their competitors; if no other company makes concessions, Amazon will claim to have a higher minimum salary than its competitors, which will occupy it. The moral commanding heights. (Han Bing)