Amazon employees are seeking a collective bargaining agreement from the nation’s second-largest retailer.
Dec 19 (Reuters) – Amazon.com workers at seven U.S. facilities walked off the job early on Thursday during the holiday shopping rush, aiming to pressure the retailer into contract talks with their union.
Warehouse workers in cities including New York, Atlanta and San Francisco are taking part in the “largest” strike against Amazon, said the International Brotherhood of Teamsters, which represents about 10,000 workers at 10 of the firm’s facilities.
The company, however, said it does not expect any effect on its operations during one of the busiest times of the year.
Unions represent only about 1% of the workforce of Amazon, one of the largest companies in the U.S. by market value, and it has multiple locations in many metro areas.
The union had given Amazon a Dec. 15 deadline to begin negotiations and warehouse workers had recently voted to authorize a strike.
“If your package is delayed during the holidays, you can blame Amazon’s insatiable greed,” Teamsters’ General President Sean O’Brien said late on Wednesday.
“We gave Amazon a clear deadline to come to the table and do right by our members. They ignored it. This strike is on them.”
The retailer’s shares (AMZN.O), opens new tab were trading 1.5% higher in premarket hours, a sign that investors do not expect a big disruption from the strike.
The Teamsters have “intentionally misled the public” and “threatened, intimidated and attempted to coerce” employees and third-party drivers to join them, an Amazon spokesperson said on Thursday.
Observers said Amazon was unlikely to come to the table to bargain as that could open the door to more union actions. It employs more than 1.5 million people globally and has said it prefers direct relationships with workers.
As the second-largest private employer globally, following Walmart, Amazon has often been a focus for unions criticizing its emphasis on speed and efficiency, which they claim contribute to workplace injuries. Amazon, however, asserts that it offers industry-leading wages and leverages automation to minimize repetitive stress for employees. On Thursday afternoon, Amazon’s shares rose by 1.8%. Workers speaking to Reuters expressed their desire for Amazon to engage in negotiations and acknowledge the health impacts of meeting demanding productivity targets. Despite these concerns, the strikers represent a small fraction of Amazon’s workforce, which exceeds 800,000 employees across more than 600 U.S. fulfillment centers, delivery stations, and same-day facilities.
Jordan Soreff, 63, who delivers approximately 300 packages a day for Amazon in Queens and Brooklyn, stated, “(Amazon) pretends there isn’t a quota system, but there’s a rigorous quota system that pushes people beyond their real physical limits in an unnatural way. The more you do, the more you’re expected to do.” Soreff was among around 100 protesters outside an Amazon facility in Queens, including several Teamsters members who are not employed by Amazon. Despite the demonstration, the facility continued its operations, with other drivers entering and leaving in trucks, escorted by police who prevented protesters from blocking their way.
An Amazon spokesperson accused the Teamsters of “intentionally misleading the public” and claimed they have “threatened, intimidated, and attempted to coerce” employees and third-party drivers into joining their cause. With numerous locations across major U.S. metropolitan areas, Amazon is insulated from significant disruptions. The company has stated that it does not anticipate any impact on its operations during this busy time of year. In 2023, Amazon sold over 500 million items from independent sellers during Black Friday and Cyber Monday. Morningstar analyst Dan Romanoff noted, “While there may be some isolated delays, I don’t believe it will have a material impact.”
Earlier this year, Amazon revealed a $2.1 billion investment aimed at raising pay for fulfillment and transportation employees in the U.S., increasing base wages by at least $1.50, bringing them to approximately $22 per hour. The International Brotherhood of Teamsters had set a deadline of December 15 for Amazon to start negotiations, but that day passed without any discussions. The Teamsters claim to represent 10,000 workers at 10 Amazon facilities, but Amazon disputes this, stating that no elections or bargaining orders have been held for these locations.