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Annual hoursLatest NewsFlexible workingPay & benefits

Amazon offers term-time contracts

by Rob Moss 30 May 2023
by Rob Moss 30 May 2023 Clare Louise Jackson / Shutterstock
Clare Louise Jackson / Shutterstock

Amazon has launched a new employment contract giving parents, grandparents and guardians of school-age children the choice to work term-time only.

The contracts guarantee six weeks’ leave in the summer, and two weeks off at both Easter and Christmas, without affecting other benefits they receive, including private medical insurance and life assurance.

Amazon piloted the contracts at three sites following employee feedback and are now being phased in for employees across all Amazon’s fulfilment centres and, later this year, at sort centres and delivery stations throughout the UK.

Term-time contracts

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The new term-time contracts come as Amazon faces pressure from the GMB union over pay, with workers at its Coventry depot walking out twice last week, bringing the total number of strike days to 16.

The Central Arbitration Committee is currently considering an application from the GMB for statutory recognition at Coventry and hundreds of GMB members are voting in fresh ballots for industrial action at five other Amazon fulfilment centres across the Midlands.

John Boumphrey, Amazon’s UK country manager, said: “At Amazon, we’re always innovating for our employees and our customers. I’m delighted to announce these new flexible working initiatives that provide even more choice for current and future employees, enabling them to better manage their home and work commitments.

“Amazon already provides a four-day working week for our fulfilment centre employees in the UK, and term-time contracts are another great example of how we are using feedback from our people to support them with their childcare needs, giving families more time together.”

Amazon has also announced a new flexible part-time contract for a minimum of 80 hours a month which lets employees pick and mix the shifts which suit their needs; part-day or full-day, day or night, weekday, or weekend. The contract is designed to support people who are unable to find work due to family or other commitments return to the workplace.

Amazon pay starts at a minimum of £11 or £12 per hour depending on location and its employees are also offered benefits including income protection, employee discounts and a pension.

But the union is calling for an increase to £15 per hour. GMB senior organiser Amanda Gearing told the BBC that the Amazon term-time contracts are positive but that workers’ priority is improved pay.

“I don’t think this is what they’re looking for right now,” she said. “They want more money in their pocket, what they’re telling us is they can’t live on poverty pay.”

Martin Williams, head of employment and partner at Mayo Wynne Baxter, said: “The problem with introducing term-time working for parents and grandparents is that, at present, Amazon is a target for criticism about alleged poor working practices and its wider operating model.

“Any attempt to appear flexible will be met with scepticism from those who wish to pour scorn on the behemoth that Amazon is.

“An employer may want to make a certain offer to fill a gap in its own recruitment drive and it may also want to seem altruistic by being flexible in the terms it presents.

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“In principle, term-time working contracts can be a good idea when trying to engage with workers more flexibly, however, some flexible arrangements can also be seen as less secure.”

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Amazon
Rob Moss

Rob Moss is a business journalist with more than 25 years' experience. He has been editor of Personnel Today since 2010. He joined the publication in 2006 as online editor of the award-winning website. Rob specialises in labour market economics, gender diversity and family-friendly working. He has hosted hundreds of webinar and podcasts. Before writing about HR and employment he ran news and feature desks on publications serving the global optical and eyewear market, the UK electrical industry, and energy markets in Asia and the Middle East.

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