Amazon Hires Fewer Holiday Workers as Robots Get More Fulfillment Work, Says Citi

Amazon, which raised its minimum wage to $15 per hour Thursday in time for the holiday season (see 1810170050), cut back on workers it hired this year, said Citi analyst Mark May Friday on CNBC. Amazon adds seasonal workers for warehouses and last-mile delivery to handle increased holiday traffic, but it has bumped up the number of robots in fulfillment centers while scaling back on human workers, said May. Last year was the first when Citi saw no increase in the number of temporary workers it hired -- 120,000 -- and this year, Amazon will hire 100,000 workers. It’s the first time on record Amazon will hire fewer seasonal employees than the previous year, and “that corresponds very closely with the use of robotics and automation within their facilities,” said the analyst.