Years in the making, Amazon unveils new facility, touting 1,500 jobs and millions in tax revenue for Johnston, R.I.

Boston Globe

2 days ago

And while the $400 million facility first opened its doors to its now more than 1,500 full-time workers in October, site leader Sultan Kabiawu said the operation had reached what he considered 'a new maturity point' by Tuesday morning.
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'We've grown to a point where we're able to serve the demand that we would like to serve in the local area,' Kabiawu said.
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A look inside Amazon's facility in Johnston, R.I. The site employs approximately 1,500 people.
Christopher Gavin/Globe Staff
So set the backdrop of Tuesday's official ribbon cutting for the center – the end of a years-long effort to get the online retailer up and running off of Route 6, about eight miles west of downtown Providence.
The location is prime for Amazon: Kabiawu said the site allowed the company to reduce the time it takes to get orders to customers – the latest piece in the retailer's regionalization strategy. The facility holds approximately 41 million items spanning the consumer spectrum, from toys and books to electronics and 'everyday essentials,' he said.
But local and state officials on hand Tuesday were also quick to point out a few other numbers.
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The project is 'the essence of what we do here in Johnston,' Johnston Mayor Joseph Polisena, Jr. said Tuesday. The town of nearly 30,000 people plays
'Here in Johnston, we have fully embraced our local, regional, and national transformation into a service economy,' Polisena said. 'The premise we follow here is simple: The more commercial tax revenue you generate, the less you need to ask from your residents. That formula has worked for us, and it's honestly one that can work anywhere.'
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Address labels are placed on boxes inside Amazon's facility in Johnston, R.I.
Christopher Gavin/Globe Staff
Brad Griggs, who leads economic development for Amazon in New England, the mid-Atlantic region, and Canada, said the company is 'proud to call Rhode Island home.' The facility picks, packs, and prepares packages for transport to sorting and logistics facilicites across the Northeast, he said.
Construction on the center began in 2022, and according to Kabiawu, the facility is now fully staffed. Wages start at $20.50 per hour.
Governor Dan McKee said Amazon has been 'a great partner' for the state.
'They're helping us with our small business transition into this world of [online] retail,' McKee said.
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More than 60 percent of Amazon sales are from independent sellers, most of them small- and medium-sized businesses, according to the company. In Rhode Island, those sellers averaged more than $160,000 in annual sales and sold more than 4 million items last year, Amazon said.
Amazon employee Kaitlin Correia-Sweeney loads items into bins at the company's new order fulfillment facility in Johnston, R.I. on Tuesday.
Christopher Gavin/Globe Staff
Among the local sellers is John Speights, owner of Cooper's Cask Coffee, based in East Greenwich.
Speights, who previously had a 20-year career in tech, officially launched the business in 2015, after he began roasting coffee in a garage for fun, he said.
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These days, the business has a small staff: two-full time employees and five-part-time workers during the holiday season, he said.
'Amazon has been huge for us. It's enabled us to scale without having to invest in infrastructure,' Speights said in an interview on Tuesday. 'During the holiday season, we'll sell 20,000 or 30,000 units, all in December, and without that infrastructure it'd be very difficult to do that.'
According to Amazon, since 2010, the company has invested $1 billion in Rhode Island, 'including infrastructure and compensation to employees, adding another $1 billion to the state gross domestic product.' The company also owns a delivery station and three Whole Foods Market locations throughout the state.
The entrance to Amazon's new facility in Johnston, R.I.
Christopher Gavin/Globe Staff
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