Why Amazon pays employees $5,000 to quit
Once a year, Amazon offers its fulfillment center workers the chance to quit their jobs and receive up to $5,000 in cash. The practice came from Zappos, a company Amazon bought in 2009. Both companies have the practice in place to ensure that only the best workers stay, and about 97% stay. The program is disclosed to shareholders in the company?s annual report and marketed to workers as the Pay to Quit policy, but comes with the disclaimer, ?Please don?t take this offer?. Amazon is hoping that it has done a good enough job hiring people who fit with the company and making the workplace somewhere that people want to give their all, that they will not have to pay anything out. However, if something doesn?t fit quite right, it is better to have that person leave happily than stay and become a drag on the productivity and attitude of everyone at that facility.
See "Why Amazon pays employees $5,000 to quit", Kim Peterson, CBS News, April 13, 2014