Amazon has suspended a program that pays up to $5,000 to warehouse workers who quit after peak seasons: report

According to a report from The Information, Amazon has stopped a program that offered warehouse employees up to $5,000 to leave.

The program is known as "Pay to Quit" or "The Offer" internally, according to The Information. Those who accept the offer will never work for Amazon again.

After the busy holiday season, the pay-to-quit program helps the ecommerce giant quickly cut down its workforce. Business Insider reported that it helps the company shed disengaged workers.

The program allows workers who have been with the company for one year to get a $2,000 bonus, which increases by $1,000 for each year of service to top out at $5,000, according to founder Jeff Bezos. Bezos wrote in the letter that the program is similar to one at Zappos.

The labor crunch in the US that has hit large companies especially hard coincides with the suspension of the program.

According to a New York Times investigation published in June, Amazon has been facing high turnover rates for hourly employees due to burnout.

Amazon did not reply immediately to Insider's request for comment.