Pushed by pandemic, Amazon goes on a hiring spree

Staff Photo by Robin Rudd / Amazon Associate Yesenia Ramirez stocks a panel that holds face masks for employees. Amazon has taken steps to combat the coronavirus and safeguard the health of the workers at their CHA1 fulfillment center.
Staff Photo by Robin Rudd / Amazon Associate Yesenia Ramirez stocks a panel that holds face masks for employees. Amazon has taken steps to combat the coronavirus and safeguard the health of the workers at their CHA1 fulfillment center.

Amazon has embarked on an extraordinary hiring binge this year, vacuuming up an average of 1,400 new workers a day and solidifying its power as online shopping becomes more entrenched in the coronavirus pandemic.

The hiring has taken place at Amazon's headquarters in Seattle, at its hundreds of warehouses in rural communities and suburbs, and in countries such as India and Italy. Amazon added 427,300 employees between January and October, pushing its workforce to more than 1.2 million people globally, up more than 50% from a year ago. Its number of workers now approaches the entire population of Dallas.

The spree has accelerated since the onset of the pandemic, which has turbocharged Amazon's business and made it a winner of the crisis. Starting in July, the company brought on about 350,000 employees, or 2,800 a day. Most have been warehouse workers, but Amazon has also hired software engineers and hardware specialists to power enterprises such as cloud computing, streaming entertainment and devices, which have boomed in the pandemic.

The scale of hiring is even larger than it may seem because the numbers do not account for employee churn, nor do they include the 100,000 temporary workers who have been recruited for the holiday shopping season. They also do not include what internal documents show as roughly 500,000 delivery drivers, who are contractors and not direct Amazon employees.

Amazon in Tennessee

Amazon announced plans for major new fulfillment and distribution centers in Memphis and Mt. Juliet, Tennessee in the past year following its 2018 selection of Nashville for a $230 million operations center that will eventually employ 5,000 workers in Middle Tennessee. Since locating its first fulfillment centers in the region a decade ago in Chattanooga and Charleston, Tennessee, Amazon has emerged as one of Tennessee’s biggest employers and businesses with more than 6,500 direct jobs, and another 6,000 indirect jobs from its $6.5 billion of investment in the state.

Such rapid growth is unrivaled in the history of corporate America. It far outstrips the 230,000 employees that Walmart, the largest private employer with more than 2.2 million workers, added in a single year two decades ago. The closest comparisons are the hiring that entire industries carried out in wartime, such as shipbuilding during the early years of World War II or home building after soldiers returned, economists and corporate historians said.

"It's hiring like mad," Nelson Lichtenstein, a labor historian at the University of California, Santa Barbara, said of Amazon. "No American company has hired so many workers so quickly."

Even for a company that regularly sets new superlatives, Amazon's employee growth stands out as a stark illustration of its might. At this pace, it is on track to surpass Walmart within two years to become the world's largest private employer.

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