Early this morning, Amazon announced its intent to create 3,500 new technology and corporate jobs in 6 different U.S. cities. The new employees will be spread throughout different business segments within Amazon including AWS, Alexa, Amazon Advertising, OpsTech, and many others. The positions will span wide in scope ranging from cloud infrastructure architects to user experience designers and everything in between. It’s exciting to see Amazon making deep investments in its workforce throughout the United States. The new jobs will report to locations in Dallas, Detroit, Denver, New York, Phoenix, and San Diego. In addition to these 3,500 new jobs, Amazon is also hiring for nearly 20,000 other positions. That number of potential new hires is impressive, considering the number of companies hiring freeze due to the Covid-19 pandemic.
Jobs are vital
I never thought I would have to explain this in my lifetime, but adding jobs is vital to the economy, increasing tax “revenue” that pays for social programs and paramount to building personal accomplishment and self-respect. I believe many have forgotten this and take a booming economy for granted. I grew up between Cleveland and Toledo, Ohio, and I watched its cities crumble in the 70s and 80’s. I saw auto, steel, and other heavy manufacturing flee to other countries or other parts of the U.S. There was no reskilling for jobs and investment fled the area. The Cleveland-Toledo area rebounded a bit out of its lows, but generations are still out of decent work and are currently the heaviest hit with the opioid addiction crisis in our country. Jobs matter, regardless of how some position them.
Sustainable roles & employer-sponsored learning programs
Few companies rival Amazon in terms of economic impact. A significant portion of the economic impact is due to the number of employees the company can employ and support. Most of the new jobs mentioned above are what I would call “good jobs.” I mean by that, Amazon provides competitive salaries and full benefits, which gives the employee the ability to earn a living wage. The company also invests in programs like Upskilling 2025, a $700 million commitment to support employee skill development. The company ultimately wants to give resources to employees in hopes that they will develop skills that will offer them better-paying roles in the future. The Amazon Technical Academy is another employer-sponsored program that prepays 95% of tuition for employees to pursue continuing education. The company prefaces that by stating that the education courses are focused on skills that are in demand. These sorts of programs give employees the ability to learn high-income, valuable skills at the employer’s expense. Access to expertise and continuing education will likely help Amazon employees to develop skills that have significant market value.
“People from all walks of life come to Amazon to develop their career – from recent graduates looking for a place to turn their ideas into high-impact products, to veterans accessing new jobs in cloud computing thanks to our upskilling programs,” said Beth Galetti, Senior Vice President, Human Resources at Amazon.
Tech Hub and corporate office expansion
Amazon will invest over $1.4 billion in Tech Hubs and corporate office expansions to support the new employees. The Tech Hub and corporate office expansions are extensive and include the following:
- Dallas, TX– Amazon will add additional space within the existing Dallas Tech Hub. The company currently has a Galleria location in North Dallas that will undergo expansion. The development will include adding 100,000 square feet of office space while adding 600 new tech and corporate roles. These 600 roles will add to the current 43,000 Amazon workers within Texas.
- Detroit, MI– Amazon intends to purchase over 25,000 square feet of office space in Detroit. This expanded office will support 100 additional jobs within it. The 100 new roles will add to the existing 13,000 Amazon workers within Michigan.
- Denver, CO– Amazon will expand its Denver Tech Hub by adding 20,000 square feet of office space to the existing Tech Hub. This expansion will support 100 more employees hired within Denver. These new hires will join the 10,500 Amazon workers already within Colorado.
- Manhattan, NY– Amazon has acquired the Lord & Taylor Fifth Avenue building within Manhattan. The company plans to open a new 630,000 square foot office in that newly acquired space. This office will support the 2000 Manhattan job openings. The new roles will add to the 24,000 Amazon workers within New York.
- Phoenix, AZ– Amazon currently has a Phoenix Tech Hub at 100 Mill, which will undergo expansion. The company will add 90,000 square feet of office space to Arizona Mills to house 500 additional jobs within Phoenix. Those 500 roles will add to the 17,000 current Amazon employees within Arizona.
- San Diego, CA– Amazon also intends to acquire an additional 40,000 square feet within San Diego. That will allow for another 200 employees to onboard. The 200 new employees will add to the 90,000 currently employed by Amazon within California.
As you can see from the data above, Amazon is investing heavily in new hires and plenty of real estates to house them.
Amazon’s economic impact
Amazon is adding employees at a staggering rate. By adding employees, the company can produce more products and services, therefore growing the business and economic impact. Since 2010, Amazon has created a massive number of jobs, 602,000, to be exact. That includes positions added within the U.S. alone. The company has invested over $350 billion across 40 states during that timeframe, including building real estate and employee compensation. According to Amazon’s estimates, the company’s direct investments have contributed $315 billion to the U.S. economy since 2010. That includes hiring for over 780,000 jobs spanning industries like construction, logistics, and professional services. The supporting roles include ones that were dependent on Amazon in addition to the company’s direct hires. Hundreds of thousands of families rely on Amazon’s hiring efforts to provide for their families, and Amazon’s announcement today is another opportunity to provide stable income to thousands of families.
It’s great to hear Amazon’s investment in 3,500 new tech jobs across the country, adding to its 602,000 added since 2010. I admire Amazon for continuing to invest in human capital during the unprecedented circumstances we are facing with the spread of COVID-19. Many tech companies have implemented hiring freezes during this time due to uncertainty. But Amazon isn’t stopping hiring; they are also putting actual dollars towards employee development through programs like Upskilling 2025 and the Amazon Technical Academy. Offering competitive salaries, comprehensive benefits, ample workspace, and free programs to learn new skills and continue education is a great reason to be a part of Amazon. A company is nothing without its employees, and Amazon’s focus on building and supporting a diverse workforce while retaining its current one is admirable.