Amazon Cuts Monthly Bonuses, Stock Awards to Fund Minimum Wage Boost

Did Amazon.com Inc. (AMZN) pull the old bait and switch on workers looking for a pay increase?

The company received tons of good press for its decision to raise the minimum wage it pays U.S. workers to $15 an hour, but that pay raise comes at a cost. 

The company will no longer offer monthly bonuses and stock awards for warehouse workers and other hourly employees. 

Despite that wrinkle, the total compensation for hourly workers will see a net gain, the company said in a statement. 

"In addition, because it's no longer incentive-based, the compensation will be more immediate and predictable," Amazon said. 

Amazon's move to raise the minimum wage was prompted by pressure from Sen. Bernie Sanders of Vermont, who criticized the company for having employees who required government assistance at a time when the company was more valuable than it has ever been. 

Compensation packages aren't the only thing changing for Amazon employees, however. Starting Nov. 19, the company will require its courier companies to electronically track and record employee hours using "time and attendance tracking" software that will be provided by payroll company Automatic Data Processing Inc. 

Amazon shares were down on 1.5% Thursday following a separate report that its servers were compromised by Chinese government operatives. 

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