ALEXANDRIA, Va.—Amazon is investing $450 million in wage increases and other benefits for drivers who are part of its Delivery Service Partners network, reports the Wall Street Journal. The other benefits include up to $5,250 a year for education reimbursement for drivers, as well as financial support for a 401(k) investment plan.
Amazon said it has invested $7 billion in its Delivery Service Partners network since 2018. The network began that year, and Amazon encourages entrepreneurs to start their own fleets of drivers with initial investments of as little as $10,000.
The move comes as Amazon is starting to hire for the holiday season and while the company is restructuring its logistics network. The Journal reports the network grew too quickly during the pandemic, and the company has had to cut down on planned warehouse capacity to trim costs.
Starbucks also announced it will contribute money toward their employees’ savings accounts and help them manage and optimize student loan repayments.
“We’ve heard from our partners and know that pressures of inflation, in addition to debt and savings are weighing heavily on them,” said Ron Crawford, senior vice president, Total Rewards, Starbucks.
Working with Fidelity, Starbucks is introducing My Starbucks Savings, and all eligible U.S. employees will be able to contribute a portion of after-tax pay on a recurring basis directly from their paycheck to a personal savings account. Starbucks will contribute $25 and $50 credits at key saving milestones up to a total of $250 per incentive eligible partner.
Starbucks will also launch a student loan management benefit through Tuition.io, giving eligible U.S. employees and their families access to tools, resources and individual coaching to manage student loan debt, such as repayment options and loan refinancing.
“We believe that when we invest in you and your greater aspirations, we are investing in the success of Starbucks, too,” said Sara Kelly, Starbucks chief partner officer. “This is just one more way we are co-creating a meaningful partner experience and a better future for Starbucks.”
In May, Starbucks announced it was increasing employee minimum pay to nearly $17 an hour by August 1. All employees hired on or before May 2 received either a 3% raise or $15/hour, whichever was higher.
NACS has partnered with The Good Jobs Institute on how c-store operators can provide “good jobs,” which meet people’s basic needs and offer conditions for engagement and motivation. The Good Jobs Calculator, designed exclusively for NACS members and the convenience industry, allows retailers to use their own data and customized assumptions about the amount of improvement or uplift achievable, so executives can run scenarios on the bottom-line impact of a Good Jobs system.
Additionally, in the NACS Magazine article “Understanding Your Local Labor Landscape,” NACS provides tips on building an effective employee value proposition.
Also, here’s why your employees are “quiet quitting.”
Two education sessions at the 2022 NACS Show in Las Vegas explore timely HR issues: Make Your Employer Brand Stand Out and Winning the War for Talent. Both are set for the morning of October 3. Register now to attend the NACS Show, October 1-4 at the Las Vegas Convention Center.