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      Amazon Increases the Maximum Base Salary for Corporate Employees

      Amazon stated Tuesday that it would more than triple the maximum base salary for IT and business experts to a hefty $350,000 (up from $160,000).

      by Editorial Team
      February 10, 2022
      in Business, Featured, News-Curated
      Reading Time: 3 mins read
      0
      Amazon
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      Main Highlights:

      • Last week, Amazon made headlines when it announced a 17% price increase for new and existing Prime members, citing inflation and the need to pay pandemic-related costs (namely in transportation and labor.)
      • The business’s shares rose late last Thursday following an excellent results report for Q4 2021, which revealed a 9% year-over-year increase in sales and overall revenue of $137.4 billion — and the company is now enthusiastic about the future.
      • Amazon stated Tuesday that it would more than triple the maximum base salary for IT and business experts to a hefty $350,000 (up from $160,000).
      • Amazon did not disclose the total cost of the compensation hikes to the company but stressed that suitable remuneration up to the new maximum amount would be decided by an employee’s performance, area of work, and current market conditions.
      • The increasing emphasis on employees follows research issued at the end of last year suggesting that workers “struggled” to obtain proper compensation and paid time off following workplace accidents.

      Amazon made waves last week when it announced a 17 percent pricing increase for new and current Prime users, citing inflation and the need to cover pandemic-related costs (namely in transportation and labor). The corporation’s shares soared late last Thursday following a special earnings announcement for Q4 2021, which showed a 9% year-over-year gain in sales and overall revenue of $137.4 billion — and the company is now looking forward optimistically.

      Amazon announced to staff on Tuesday that it will more than quadruple the maximum base compensation for IT and corporate professionals to a healthy $350,000 (up from $160,000).

      Amazon stated in a memo to employees obtained by Geekwire that the past year has seen a particularly competitive labor market. After conducting a thorough analysis of various options and weighing the economics of their business against the need to remain competitive in attracting and retaining top talent, they decided to make significantly more significant compensation increases than they typically do.

      Amazon did not divulge the actual cost of the wage increases to the firm as a whole but highlighted that appropriate remuneration up to the new maximum amount will be determined by an employee’s performance, area of work, and market conditions at the time.

      Amazon 1

      Amazon’s Base Salary Debate

      It’s critical to emphasize that the increase in maximum base salary is significantly more significant for Amazon employees than it would be for staff at other firms, given Amazon corporate and technology personnel are paid with stock awards whose values vary with the market. Additionally, the new compensation structure will alter how employees are granted stock in the firm depending on promotional cycles.

      According to Geekwire, managers will evaluate pay at promotion and grant extra stock awards mid-year if needed, rather than waiting until the following annual compensation cycle. Globally, remuneration would also be boosted, though the corporation did not specify how much.

      The increased focus on employees comes in response to a study released at the end of last year alleging that workers “struggled” for adequate compensation and paid time off following workplace injuries. Chloe Roberson, 21, a 21-year-old employee, stated at the time that they had been fighting Amazon for time off and money. They had not had a single day when he was not a weeping wreck due to the stress Amazon continues to put him through, he claimed.

      Amazon workers recently staged walkouts in two Chicago-area locations ahead of the Christmas season, alleging they were given shorter break hours and the business refused to increase salaries. Tuesday afternoon, the company’s shares were down around 4% year over year.

      mm

      Editorial Team

      We at Appedus are a group of digital nomads aggregating, writing, and publishing the best of the tech news in the mobile app ecosystem. Our constant endeavor is to get the most actionable news for you to use.

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      Mobile App Development | Design | Marketing Magazine: Appedus

      Appedus is a mobile app ecosystem focused news publishing platform which covers various topics like app design, app development, app marketing and other relevant news, views or opinions. We also publish industry insights, e-books, developer interviews and e-magazines. You can get in touch with us on hola@appedus.com or you can snail mail us at

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