Can UPS keep up with Amazon on wages and workers?

Discussion in 'The Latest UPS Headlines' started by cheryl, Oct 4, 2018.

  1. cheryl

    cheryl I started this. Staff Member

    Can UPS keep up with Amazon on wages and workers? - Louisville Business First Inc. just took a huge step toward attracting more workers to its operations.

    The e-commerce retailer announced it is raising its minimum wage to $15 per hour for all for full-time, part-time, temporary (including those hired by agencies) and seasonal employees across the U.S. The change is effective Nov. 1.

    This is likely huge news for the already-tight Louisville labor market, where Amazon, United Parcel Service Inc., Radial Inc., and other distribution and warehousing operations vie for the same type of worker. Amazon has three distribution centers locally — two in Shepherdsville, Ky., and one in Jeffersonville, Ind. — and about 6,500 employees. UPS has its large Worldport shipping hub, Supply Chain Solutions and significant ground operations in Louisville, and employs about 21,000.
  2. browned out

    browned out Well-Known Member

    Great to see this post. These are some of the questions of the day. Can UPS staff it's operations at Peak? Is something bigger in the works re: UPS and Amazon or Fed Ex and Amazon? The $15 an hour is news that UPS mgmt. is not happy to see. This is the tightest labor market in years. I hope UPS can attract quality seasonals this year.

    Amazon did not change it's employee cost structure much. Eliminating the stock options and substituting that with wage increases was a no brainer. Everyone from Trump to B Sanders was complaining about Amazons low hourly pay. What was almost never mentioned was the stock bonuses. People were stuck on the low hourly wage. No credit was given for the generous stock bonuses from Amazon. So Amazon obviously allocate hourly wages in a more easily understandable and hard to criticize way.