Unemployment, Amazon wages

[Crossless2.0]

I welcome Amazon's move. It will be nothing but good for the people they employ, including their temporary workers.

That said, I hardly think this is evidence of MAGA. There are a couple of things going on here. Low unemployment is causing the labor market (even the unskilled labor market) to become more competitive. A company valued at one-trillion can afford to increase wages to compete for that labor pool without breaking a sweat. This, in turn, will increase pressure on its competitors to also raise wages, making them relatively less competitive. But this is also a company getting in front of proposed legislation sponsored by Sanders. In terms of impact and importance, I doubt the political pressure comes anywhere near the sensible financial and strategic concerns that probably lie at the heart of this move. But the political pressure is real and in no way can be attributed to Trump or the GOP.

[Brian37]

Not because of Trump, but in spite of Trump.

To be slightly fair, Amazon isn't doing this for Trump, or the kindness of their heart either. Amazon is taking a gamble on good PR, I wouldn't claim that their CEO really cares so much that he is willing to cut his own pay to pay workers more. 

I see the same PR shit with companies like McDonalds, whom has a bullshit ad with a black teen employee coming in and opining a letter from a college and everyone cheers to find out he got accepted. I am all for that sure, but it is bullshit when they end their add with the tag line, "McDonalds, America's best first job"........ That might fool even whites, and sounds good, but who the fuck is working behind the counter when the kids are in school?

A pay raise for rural whites and urban blacks is a good thing, but it still doesn't mean shit if it gets eaten up by inflation.

[GrandizerII]

This clearly had nothing to do with Trump. I mean, even I (living in Australia) know exactly how this happened because I frequent the Bernie reddit boards from time to time. If you need to give credit to a politician, that credit should go to Bernie Sanders, though it wasn't just him (but a whole movement) who helped lead Bezos to raise the minimum wage.

Fucking trolls, you and RR.

[Crossless2.0]

The raise may not be the unmixed blessing it initially appears:

https://www.msn.com/en-us/money/companie...spartanntp

From the article:

[quote] But in Amazon warehouses across the country, many longtime workers are fuming that — based on the information they have received so far — they may end up making thousands of dollars less a year.

Yes, Amazon is increasing wages, which will benefit most employees. But it will no longer give out new stock options and monthly bonuses. Some workers believe that means their total compensation will shrink.

Whether Amazon finds a way to close that gap will be closely watched in Washington. On Oct. 4, Mr. Sanders, an independent from Vermont, sent a letter to Jay Carney, who runs Amazon’s public policy, “asking Amazon to confirm how the total compensation of employees who would have received stock options — those with the company for two or more years — will be affected as a result of the recent changes,” according to a copy provided to The New York Times.

Mr. Sanders, who was alerted to the issue by workers, has not yet received a response from Amazon, a spokesman for the senator said. [end quote]

[GrandizerII]

The raise may not be the unmixed blessing it initially appears:

https://www.msn.com/en-us/money/companie...spartanntp

From the article:

But in Amazon warehouses across the country, many longtime workers are fuming that — based on the information they have received so far — they may end up making thousands of dollars less a year.

Yes, Amazon is increasing wages, which will benefit most employees. But it will no longer give out new stock options and monthly bonuses. Some workers believe that means their total compensation will shrink.

Whether Amazon finds a way to close that gap will be closely watched in Washington. On Oct. 4, Mr. Sanders, an independent from Vermont, sent a letter to Jay Carney, who runs Amazon’s public policy, “asking Amazon to confirm how the total compensation of employees who would have received stock options — those with the company for two or more years — will be affected as a result of the recent changes,” according to a copy provided to The New York Times.

Mr. Sanders, who was alerted to the issue by workers, has not yet received a response from Amazon, a spokesman for the senator said. [end quote]

No surprise.

[RoadRunner79]

The raise may not be the unmixed blessing it initially appears:

https://www.msn.com/en-us/money/companie...spartanntp

From the article:

But in Amazon warehouses across the country, many longtime workers are fuming that — based on the information they have received so far — they may end up making thousands of dollars less a year.

Yes, Amazon is increasing wages, which will benefit most employees. But it will no longer give out new stock options and monthly bonuses. Some workers believe that means their total compensation will shrink.

Whether Amazon finds a way to close that gap will be closely watched in Washington. On Oct. 4, Mr. Sanders, an independent from Vermont, sent a letter to Jay Carney, who runs Amazon’s public policy, “asking Amazon to confirm how the total compensation of employees who would have received stock options — those with the company for two or more years — will be affected as a result of the recent changes,” according to a copy provided to The New York Times.

Mr. Sanders, who was alerted to the issue by workers, has not yet received a response from Amazon, a spokesman for the senator said.

Sounds like they where making out pretty good before, despite Bernie’s complaints and until he got involved.

[Crossless2.0]

Sounds like they where making out pretty good before, despite Bernie’s complaints.

Bernie is voicing the concerns of the long-term employees. They are not his complaints.

[RoadRunner79]

Sounds like they where making out pretty good before, despite Bernie’s complaints.

Bernie is voicing the concerns of the long-term employees. They are not his complaints.

So we are not crediting this to Bernie now?

[John V]

Lower taxes (Trump) and less burdensome regulation (Trump) --> greater investment in business --> more jobs --> lower unemployment --> employers forced to bid up wages.

[Crossless2.0]

Bernie is voicing the concerns of the long-term employees. They are not his complaints.

So we are not crediting this to Bernie now?

In my first post on the subject (the one you gave a kudos), I said I didn't think the political pressure to raise wages was the primary motivation behind Amazon's decision. I still think that.

However, if Amazon caves to demands that it not screw its long-term employees in the process, that will probably be 100% attributable to Sanders and his political allies, bringing pressure and negative PR to Amazon's doorstep. If Amazon were a union shop, the employees wouldn't have needed to take their concerns to Bernie. But they're not a union shop, and they are availing themselves of whatever leverage they can gain. Bernie has the public profile to help give them that leverage.

---

Lower taxes (Trump) and less burdensome regulation (Trump) --> greater investment in business --> more jobs --> lower unemployment --> employers forced to bid up wages.

That's a nice non-specific mantra. The proof is in the pudding, and that will vary from industry to industry and from business to business.

Some of this money from lower taxes wasn't reinvested in the businesses but was used for stock buy-backs. That's a very different sort of beast.