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Amazon Offers Employees $10,000 To Start A Business, Details Inside

| Published on May 17, 2019

The richest man in the world, Jeff Bezos is taking a new step to climb up the success ladder. Amazon Inc., the company that has a major role in Jeff Bezos’s success and fame had rolled out its Prime membership plan to give it’s customers the best service at minimalistic extra charges.

What is the prime subscription?

Prime subscription which currently costs Rs 999 per year in India, gives its members access to special discounts to Amazon products. It also gives them early access during sales or product launches. Moreover, prime viewers get free delivery on mostly 90% of the products and the delivery is made within 2-3 days.

However, Amazon always targets a one-day prime delivery and markets this feature as USP for all the prime members. Along with that, the prime subscription is the heaven for movie/TV shows buffs via Amazon Prime Video access.

Amazon’s initiative to improve its program

With the vitality of customer service and the goal of improving its delivery service, Amazon has launched a new plan last year. Amazon earlier and still to some extent depends on outsourced carriers, post office services or UPS. So the plan was to provide incentives to workers to start their own delivery business startup to help Amazon achieve their goal.

Anyone could apply to be an independent delivery leader for Amazon, provide delivery to doorsteps and there was a special 10,000 dollar reimbursement for military veterans. Infact, around 200 such businesses have been created since June 2018.

In 2019, Amazon takes a step further –

To expand its plan to action, Amazon has now established a new offer towards its very own employees. The offer stands at employees resigning from their jobs, opting to start their own delivery business and being a provider for Amazon while getting 10,000 dollar cost coverage by Amazon.

Moreover, the employees would still be paid their three months’ salary at the start. They would get the blue Amazon prime delivery vans leased and could start operations as soon as possible. The offer stands open to mostly all part-time and full-time employees ranging from workers in warehouses or offices. The only exception is that it isn’t valid for Whole food employees.

What could be the possible impacts?

For once, the number of employees directly working under Amazon would decrease. Even though there haven’t been any official statements as to how many employees would opt for this offer, it can be said that it would be handful just because of the income-earning potential of the new delivery business.

Also Read: Here’s Why Amazon Sometimes Packs Small Items In Huge Boxes

Moreover, it might be possible that this would open up new job windows for applicants in the case, vacancies arise in the company. This would also reduce huge fixed and long term costs for the company if it had to buy its own delivery vans and logistics workers.

On the contract, some might argue that this would give competition to companies like FedEx and this is Amazon’s plan to enter the logistics market. However, that would be impossible given the limited access and extent of such delivery businesses, Amazon’s plan of focusing just on its prime delivery service and that companies like FedEx have the experience and finance that a small delivery startup doesn’t.

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