7 Sep 2012

Amazon to deliver 2,000 new jobs

The online shopping goliath is opening three more distribution centres in the UK in a move that could increase the squeeze on its high street competitors.

Amazon is to create thousands of new jobs in the UK (Getty)

The firm also said that up to 3,000 temporary workers will also be taken on during the Christmas peak period.

Amazon revealed the move at the opening of its new site at Hemel Hempstead, which is creating 600 jobs. Amazon Managing Director Christopher North said: “We have created thousands of jobs in the UK over the last few years and are delighted to announce that we plan to create thousands more in the next 24 months.

“Our recruitment team has been exceptionally busy recently hiring hundreds of employees at the Hemel Hempstead fulfilment centre and they will certainly be busy over the next couple of years as we continue to expand to provide customers with the best possible experience.”

‘Great news’

Prime Minister David Cameron welcomed the announcement saying: “This is great news, not only for those individuals who will find work, but for the UK economy.

“This shows that the UK has the infrastructure and talent to continue to attract major investments from leading companies such as Amazon.”

Amazon hopes increasing the number of its distribution centres will speed up deliveries, an aspect of its service which is currently largely lagging behind the high street.

Fight

But there are concerns that the expansion may jeopardise the health of smaller local shops by being able to deliver purches more quickly as well as having the edge over the high street on price.

In the US, Amazon has long fought collecting sales tax from its customers. But at the beginning of September, Amazon was forced to start adding sales tax to purchases made in several states following complaints its policy of not charging the levy was giving it an unfair advantage over its off-line rivals.

In Texas, the company agreed to create 2,500 jobs and invest $200m in new distribution centres in return for the state to waive $269m in back sales taxes.