Amazon eliminates monthly bonuses and stock grants after minimum wage increase

Amazon gained praise for hourly workers' minimum wage increases up to 15 hours yesterday, but was widely known at the expense of monthly bonuses and stock options. The company explained its decision to switch from a blog post to a new stock purchase program yesterday. We mentioned that hourly employees preferred "predictability and immediacy of cash for RSUs" but did not mention the loss. Bloomberg reported earlier today.

Some Amazon warehouse employees have blamed moves that said they would actually lose thousands of dollars in incentive payments. Current warehouse workers receive two weeks of Amazon stock when hired ($ 1,952.76 per week while writing) and receive additional stock options annually. After the change takes effect, the RSU program will be phased out for the stocks set in 2020 and 2021 and will be replaced by a direct stock purchase plan by the end of next year.

Amazon warehouse staff The Verge reported lethal news to accomplishment staff via email, many of them incentives based on hourly wages according to RSU and VCP (incentive-based monthly bonus program) I have noticed that you are receiving. Dependent on good attendance and productivity goals, VCP incentives can earn Amazon workers 8% of the monthly bonus and 16% of the bonus in the November and December peak seasons.

The Amazon workers responded to Sen. Bernie Sanders' Twitter Many workers praise the minimum wage increase cited on November 1, and will raise the salary without raising the salary.

Many Amazon warehouse workers are criticizing pay increases as well as political activities.

– splitwig (19459014) October 3, 2018

Make sure that eliminating the incentive payment actually meets the interests of the employee. But the company claims to be a shift for the benefit of its employees.

An Amazon spokesperson told CNBC via e-mail in a statement, "Significant increases in hourly cash benefits complement incentive payments and gradual offsetting of RSUs." "This announcement confirms that all hourly operations and customer service personnel will raise the total compensation, and it is no longer based on incentives, so we can get faster and more predictable rewards."