In three major job centers, Amazon will spend $2 billion to try to solve affordable housing shortages.
Published on: 2021-01-07 13:53:24 | Category: Business | By: admin
Over the next five years, Amazon has pledged to spend more than $2 billion to build tens of thousands of affordable housing units in three of the major employment hubs of the e-commerce giant, highlighting the ongoing housing crisis affecting parts of the US where large, high-paying tech employers reside.Similar commitments from Apple, Facebook, and Google, all of which previously pledged between $1 billion and $2.5 billion each to fix similar issues plaguing the San Francisco Bay Area, follow Amazon's pledge, reported on Wednesday.
The areas of the U.S. Amazon plans to invest in include the Puget Sound area of Washington state that includes Seattle. The company, thanks to its headquarters in the state, employs more than 75,000 people in the region alone.
Amazon announced a new $2 billion Housing Equity Fund. The fund will help build or preserve 20,000 affordable homes in its three U.S. headquarters regions. Amazon's pledge follows similar ones from Apple, Facebook, and Google. The company had planned to invest in New York City, but faced backlash from local residents and politicians. It will instead focus on expanding in Nashville and Arlington, Virginia. It's the latest in a series of similar pledges from tech companies.
Amazon invests more in the form of loans that are low-cost. The commitment also provides cash grants of $125 million to small companies, non-profits, and organizations led by minorities. In the coming months, Amazon plans to announce additional investments in both countries, as well as Nashville.
In the gentrification and displacement of local neighborhoods, technology firms also play a major role. Amazon has an opportunity to make urban areas more affordable places to live, turning them into big job hubs. To help attract and retain talent, the organization has a long-term plan.
One big purpose is to avoid pushing away workers in San Francisco or Silicon Valley who can not afford to live somewhere like Seattle or, in the case of businesses such as Facebook and Google.Another aim is to help alleviate the pressure from politicians and advocates who frequently condemn tech firms and their workers for doing nothing to give back to the communities within which their businesses are founded.