- Amazon Internet Service Company plans to hire 100,000 part-time workers for warehouse and delivery.
- ISPs and videoconference platforms are experiencing increased demand.
- The number of companies that lose out in the current situation is far greater than those that profit.
There is no day which does not bring more news of restaurants, stadiums, and artistic programs being cancelled and closed due to the coronavirus outbreak. These disruptions can lead to unemployment for millions and the bankruptcy of hundreds of thousands of small and medium-sized companies.
But a group of companies are making even more profits, and can hire new employees, including Amazon. With the spread of coronavirus, online ordering has increased and customers prefer to order items online rather than in supermarkets or shops.
Amazon Internet Service Company plans to hire 100,000 part-time workers, who will be mainly employed in warehousing and delivering goods to consumers. In addition to these workers in the United States, Amazon plans to increase the wages of its employees in Europe, the US, and Canada, and spend $5 million on it.
At present, the salaries of its employees are $15 per hour. Wages in the US are expected to rise by $2 an hour, and €2 an hour in Europe. Amazon has announced on its website that hotels, restaurants, and tourism service staff can be hired temporarily to keep the market afloat.
Helping Where Other Companies Can’t
Amazon says it wants to do something that is not made by anyone or any company. The company has released an ad that looks more like an outreach campaign. Amazon has also said that it currently receives a very high volume of orders.
But it’s not just Amazon that has been added to its customers. Other market platforms, such as Slack, Zoom, and Microsoft Teams have also expanded dramatically in the current market situation. Internet service providers are currently facing high demand, with regard to data volumes worldwide. Teleworkers as well as gamers and binge watchers stuck at home are contributing to a very hot market. Universal Pictures has announced that it will make its new films available online as soon as they are due to be released in theaters.
However, the number of companies that lose out in the current situation is far greater than those that profit. One example is Volkswagen, which announced a “critical situation” on March 6th. Volkswagen, BMW, and Audi will announce their trade balances this week, and it is clear in advance that they are not happy.
The Coronavirus is right in the heart of these industries because it is not only an important part of the market for these cars in China but part of their production cycle there. At the same time, the demand for cars has declined not only in China but also in Western Europe. This also includes Fiat, Opel, and Ferrari, companies that have closed their production cycles either very narrowly or by the end of March.
Unemployment and Billion-Dollar Losses
The rollback of demand for automotive products is equal to the unemployment of a large part of their employees. The slowdown in economic growth is reflected in a country such as Germany, which is one of the main pillars of economic growth. But coronavirus has also hit many industries, including the tourism industry, worldwide. Big companies like TUI are suffering heavy losses and smaller companies will go bankrupt.
Airlines are no better off. Lufthansa Airlines announced on Wednesday, that it has shut down six long-haul and four mid-range flights to prevent citizens from increasing their fears of the Coronavirus. Prior to Lufthansa, Lufthansa subsidiaries, including Euro Wings, Swiss International Air Lines and Austrian Airlines, also significantly reduced their flights due to the widespread of coronavirus in various countries.