New Amazon ‘Avalanche’ program offers big bump in pay for warehouse workers who put in extra hours this holiday season

• Amazon has introduced a new voluntary incentive program for warehouse workers called “Avalanche.”
• It pays a premium of $10 per hour over base pay for up to 4 hours per shift.
• The steep pay increase distinguishes it from other incentive programs.

Amazon is increasing the pay of some of its front-line employees who choose to work extra hours during the upcoming holiday shopping season.

According to an internal memo obtained by Insider, Amazon frontline workers at select warehouses will be eligible for an extra $10 per hour on top of their base pay through a new incentive program called Avalanche for up to 4 extra hours per shift.

Amazon has long provided a variety of incentives in order to attract new employees during the critical holiday shopping season. Avalanche, on the other hand, stands out for its high hourly premium of $10, which is nearly 50% higher than Amazon’s frontline workers’ average hourly wage of $20.50.

“Avalanche allows you to pick up Voluntary Extra time (VET) shifts that offer a Peak High Demand Premium,” according to the letter. “Avalanche VET opportunities will receive a $10 premium in addition to base pay, and are no more than 4 hours in length.”

The aggressive pay increase suggests that Amazon is either anticipating high demand ahead of the holiday season or is struggling to fill warehouse positions. In September, Amazon announced plans to hire 250,000 seasonal workers for the holidays and invest $1.3 billion in pay raises. This was a significant increase from last year, when Amazon announced plans to hire 150,000 more front-line employees during the crucial holiday shopping season.

In an email to Insider, Amazon’s spokesperson, Sam Stephenson, confirmed the existence of the Avalanche incentive program but stated that it is unrelated to any change in shopper demand. According to Stephenson, it is simply “one of many programs” that Amazon provides to its frontline workers during the holidays, and it is only available at certain facilities.

“This incentive is designed to give our employees at select fulfillment centers more options in the coming weeks.” “Anything else is simply not true,” Stephenson explained.

As of the end of September, Amazon employed 1.5 million people worldwide. Amazon previously stated that it has invested more than $10 billion in hourly pay over the last five years, with employees earning between $17 and $28 per hour depending on position and location in the United States.