Amazon worker boxes mask
Brendan McDermid/Reuters
  • Amazon has announced a set of programs aimed at supporting working parents and caregivers.
  • They include new scheduling tools, early access to weekly pay, and up to 20 weeks of parental leave.
  • The move could make it even harder for other businesses to compete with Amazon for talent.

Amazon announced on Wednesday a new program for its front-line employees that is designed to offer better support for parents and caregivers.

The company's FamilyFlex benefits expand access to a set of smaller programs that were previously available to select groups of workers.

"The pandemic has put a spotlight on, and even exacerbated, the challenges faced by families who care for young children," Alicia Boler Davis, Amazon's Senior Vice President of Global Customer Fulfillment, said in a statement.

"Giving employees ways to balance work and home commitments is important to us, which is why we go beyond providing an average starting wage of $18 per hour and comprehensive benefits," she said.

Amazon says the program was designed in response to employee feedback about what workers need in order to better manage their work and personal lives.

New parents are eligible for up to 20 weeks of paid parental leave, and employees can share up to six weeks of paid leave with a partner whose employer doesn't provide it.

As parents return from leave, the company's Ramp Back program allows them to work a reduced schedule for up to eight weeks as they adjust to their new responsibilities.

More generally, employees can use the company's internal A to Z app to set customized work schedules to fit around things like daycare drop-off or after school activities. And if something unexpected comes up, they can use the app to swap shifts with a coworker.

"Women - and many parents in general - will not be able to return to the workforce and thrive there, without policies like flexible schedules and family support resources," Path Forward CEO Tami Forman said in a statement. Path Forward is a nonprofit dedicated to helping professionals return to the workforce.

"Programs like Amazon FamilyFlex are another step toward meaningful change as employees seek better balance between work and caregiving responsibilities," she added.

Amazon also expanded access to its flexible payment program, which gives employees the option to access their earnings before their normal pay period, allowing them to avoid expensive short-term lending services.

The announcement comes at a particularly challenging time not just for Amazon but for employers in general, many of whom are locked in a pitched battle to hire and retain workers.

Prior reporting showed that Amazon suffers from an atypically high turnover rate among its warehouse employees, indicating that the company's $18 starting wage may not be enough to get people to stick around.

For other businesses, researchers have documented an Amazon effect on local wages and a program like this is likely to add to that upward trend on employee compensation.

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