Amazon Beefing up Staff at its Warehouses

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July 29 (Bloomberg) -- Bloomberg's Cory Johnson explains to Tom Keene the reasons why Amazon is increasing its payroll on Bloomberg Television's "Market Makers." (Source: Bloomberg)

For more on their growing workforce we will speak to editor-at-large, cory johnson, who recently visited and survived visiting a fulfillment center.

They call it a fulfillment center.

It is meant to be fulfilling.

What do they need to know about a fulfillment center, what was a surprise?

The most interesting thing they've run their center is how an automated they are.

They have a system called pick and stow where the worker comes in on trucks, they unpack stuff, the scan it and put a coat on it, and stick it in any available shelf route these massive distribution centers.

You are looking at one right there just outside of phoenix.

Then people walk around with shopping carts and little laser guns when they look for in item.

You may have 50 shades of grey tucked into some blank cds.

I know you do as well.

What is interesting about this is the employee a lot of people at very basic levels.

If the omnicom workers have to go work there, they are in for for a very working class job.

How much do they pay?

Above minimum wage.

It is certainly an entry-level job.

Clocks are these full-time jobs?

Are these bed -- are these people benefited with their low pay?

Or is amazon doing a part-time play here?

They will do both.

They do a lot of seasonal hiring.

You have to take this into context of what amazon does in general.

Amazon has gone not just on a hiring spree.

Their unemployment figures have ramped up significantly over the last couple of years.

That is not just hiring for distribution centers.

This is also hiring for employees.

They are really ramping up their scale and they are trying to get closer and closer to consumers of major cities.

They agreed to take a hit on sales taxes.

They have now decided that if they move distribution centers closer to where people are they are going to be able to do second day and even same-day delivery.

They realize that is part of what they are building.

It is at considerable cost.

Their capital expenditures have gone through the roof.

They are spending in three months time what they used to spend in a given year.

They used to be in the hundreds of millions every year and now in the billions every corner.

That has an x -- that has a significant impact on the company.

Why is everybody buzzing

This text has been automatically generated. It may not be 100% accurate.


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