A year after being the subject of a scathing review from The New York Times that sparked debate about the wellness of its working conditions, Amazon is now using its innovation capabilities to test out something new for a select group of employees. The brand is launching an experimental 30-hour work week, in which a few dozen technical employees are expected to work Monday through Thursday from 10 am to 2 pm, with flexibility outside of those hours.
These employees will be salaried and receive the same benefits as those working traditional 40-hour weeks, but their pay will be reduced proportionally by 25%.
The RTP team shares their expectations for the program and how it may affect Amazon, its employees and even other retailers down the line, particularly since merchants traditionally do not offer full benefits to their part-time retail employees.
Debbie Hauss, Editor-in-Chief: I think the 30-hour work week, including health benefits, has a lot of potential for all types of employers. It will positively impact hourly workers the most, since I believe successful non-hourly executives probably already work significantly more than 40 hours per week already. So telling them they are required to work 30 vs. 40 will make no difference. Similarly, many younger, entrepreneurial companies are giving their full-time employees unlimited vacation time, knowing full well that most employees wouldn’t have even used all of the two weeks of vacation time they may have been allotted otherwise. It’s actually a sneaky trick that deters people from taking vacation. But back to the 30-hour work week. I think this will motivate more stay-at-home parents, college students and seasonal employees to join a company and be more motivated and loyal to the brand. With all the controversy around Obamacare and the overall challenge of getting and paying for health care, this setup will give workers a chance to take a deep breath and focus on work rather than how they are going to pay the next pediatrician bill.
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Adam Blair, Executive Editor: I believe this comes under the category of “public embarrassment is the mother of invention.” The revelations of last year’s New York Times article about Amazon as a white-collar sweatshop, where 80-hour work weeks were the expected norm, may well have motivated the e-Tail giant to try being more employee-friendly. Whatever the impetus, this actually seems like it could be a workable idea. Offering health benefits even for so-called “part time” work would solve the problems facing many employees, who have to stitch together health coverage while working multiple jobs and/or taking care of children. And it’s not as if Amazon is being totally altruistic. The nature of much of today’s white-collar work, and the increased connectivity that’s possible with mobile devices, means that there’s plenty of work that takes place outside the set boundaries of working hours — even if it’s just checking an email in the middle of the night or being available for an early morning conference call. Given the difficulties many retailers face in getting the right staff people on board, particularly during busy seasons such as the upcoming holidays, the kind of flexibility Amazon is experimenting with seems like a step in the right direction.
Alicia Fiorletta Esposito, Content Strategist: I stumbled across an article recently that indicated four-day workweeks are not only beneficial for employees but for the environment as well. It makes sense that having a shorter workweek helps employees improve their work-life balance and bounce back seamlessly after a hectic week. But consider the fact that when work weeks are shorter, there’s one less day people are commuting to and from work. I commend Amazon for testing this approach and still giving employees their benefits. Although there are some organizations that have implemented this strategy successfully, having a brand as big and recognizable as Amazon will undoubtedly help generate more awareness and, hopefully, adoption.
David DeZuzio, Managing Editor: As the Christian Science Monitor article stated, many companies who employ workers at reduced hours do so to avoid paying benefits that would otherwise be legally required for full-time workers. By offering benefits to its part-timers, Amazon is most certainly taking a step in the right direction and this move should prompt other retailers to follow suit. Yes, this came from Amazon’s embarrassing 80-hour work week scandal, but ultimately this blemish can prove to do more good for employees in the end. If this initiative becomes more widely adopted, perhaps more people would be encouraged to apply for part-time jobs and hold them with pride as they will be able to provide health care benefits for their family. In these times of mandatory health care, this is absolutely vital whether workers have a single- or dual-income family. I wouldn’t expect this policy to be implemented across every level of Amazon (or any retailer for that matter), because you can’t have everyone working 30-hour weeks, but it’s a great experiment. As long as it’s profitable and the work gets done, things will work out fine. For Amazon, this is yet another move that can send huge waves throughout the retail world, but this time it’s for the better.
Glenn Taylor, Associate Editor: I’d be interested to find out what department the test is being implemented in, to see which tasks will be shifted as the experiment progresses. I imagine in many circles of Amazon work goes well above a regular 40-45 hour week in the first place, so it brings into play the factor of which functions can afford to be messed around with the most. And as far as the benefits go, Amazon reels in plenty of revenue, making such an experiment valid without making a dent in profits. While this may not be as feasible on a company-wide scale, the experiment at least shows that the brand is willing to start somewhere, and may even scale it up in the future depending on results. Needless to say, it’s always a positive to see top retail players implement employee-rewarding initiatives such as this, regardless of their reasoning or end goal. Like many other actions Amazon takes, this decision could perhaps push other major brands to take steps to improve their own workplace environments, as long as the bottom line still fits.
Klaudia Tirico, Associate Editor: I admire Amazon for testing a 30-hour work week, and providing those part-time employees with salaries and benefits. If any retailer was the first to experiment with this type of program, it’d be Amazon, given their success. Times are changing, and people’s lifestyles are so diverse that, for some, full-time work weeks aren’t feasible. They shouldn’t have to struggle with paying for their health care or day care for their children. I strongly believe that happy employees are hard-working employees, and a shorter work week for some could mean being more productive. Other retailers should pay attention to Amazon’s experiment to see if this idea is something they should implement for their business. Of course, as Glenn and David noted, a shorter work week won’t work for all positions and departments, but I definitely see the reward outweighing the risk in the long run. I look forward to seeing how quickly other retailers jump on the bandwagon.