Challenge to Amazon: show the world America values workers

By | September 26, 2011, 5:17am PDT

Summary: Step up to the plate, Mr. Bezos. Show the world that America can knock one out of the park on behalf of its workers. Show the world that America still has game.

Dear Jeff:

You and I have a long relationship. Since the late 1990s, every week or so, I send you some money, and every week or so, you send me some stuff. This has worked out quite well for me and, certainly, quite well for you.

But, as we’ve been reading, for some of your employees and contractors, well, not so much.

Here’s the thing. America has a really big challenge on its hands. As I’m sure you know, American unemployment and underemployment rate is much higher than is healthy. A big part of the problem is that lower paying manufacturing jobs have been sent offshore.

See also: How To Save Jobs (my book, free download)

You know this, because your arch-competitor, Apple, has been outsourcing the manufacturing of its products to China for years now. It’s so bad over there, in those factories, that Foxconn had to put up nets to keep the suicides down to a manageable rate.

See also: Is Apple’s suicide factory outsourcing to even cheaper Chinese peasants?

See also: Apple may be poisoning Chinese workers and doesn’t seem to care. Should we?

I’m guessing this new tablet that you’re about to announce is also going to be built in China, probably in the same Foxconn factories, so you, too, will indirectly benefit from having suicide nets high up on those walls. After all, it’d suck to be able to read a Kindle tablet and know it was forged from the blood of unhappy jumpers.

See also: Sept 28: Amazon tablet on deck?

In any case, it’s much harder to outsource picking and packing to unhappy foreign workers. Reed Hastings over at Netflix is trying to solve this problem by simply turning his back on the picking and packing problem and sending Qwikster (can you believe that name?) to the wolves, to live and die on its own.

See also: Apparently, Netflix is renaming itself to Qwikster (seriously, sorta)

See also: Netflix wrestles with innovator’s dilemma; Customers pan ‘Qwikstupid’ idea

But you, Jeff, are stuck. For Amazon to succeed, you must have warehouses in America, and you, therefore, must have American workers.

No doubt, working in any warehouse is rough. Those of us who are members of the chattering class can sit on couches, dream up some incendiary columns, and do our jobs. But factory and warehouse workers must throw their whole bodies into the job, moving fast, lifting, loading, and do it all in, well, warehouse conditions.

You’ve made some good steps this last week, especially your decision to spend millions of dollars on new air conditioning systems. It shows you care, as much as possible, for worker welfare. Okay, even if all you care about is keeping the bad PR to a minimum, that’s still good if it benefits American workers.

But I contend that’s not good enough.

Oh, back when Steve was in charge at Apple, he might be able to sleep nights knowing suffering Chinese workers were miserable, but I don’t think you’re that kind of guy. I think you care.

But here’s the thing. I don’t care about caring. I care about America and its future. I think you and Amazon can be that future.

Because here’s our problem. Chinese workers (and those in other emerging countries) will, at least for another few decades, be willing and able to work for far less money (and in far worse working conditions) than American workers can.

It’s not just that we want to be able to pay for our rising Netflix bills or that yearly Amazon Prime payment, it’s that it costs more to live here, since we’re not willing to live on dirt floor huts or stack our workers in dorms like so many cords of wood.

America, then, has a challenge. For its companies to remain competitive, keep prices low, and sell products to consumers, costs must be kept low. That means outsourcing production to other countries.

But, for America to have enough people capable of buying all those products, Americans must have good, middle-class jobs. It’s a paradox, and may be one of the defining challenges for America as we move further into this century.

Amazon, though, can help show other American companies how to meet that challenge. You see, in my opinion, Amazon may well be one of the most innovative companies in America. Sure, we all point to Apple as innovative, but you do more. You don’t just design pretty UIs. Actually, having used your current Kindles, you don’t even try to design pretty UIs — maybe you should fix that.

Anyway, you do a lot more. You have an entire cloud infrastructure and you run services for many other companies. You have a distribution and warehousing infrastructure. You have a digital content infrastructure. You have an online retailing infrastructure the envy of pretty much everyone else.

Face it, Amazon is frickin’ amazing.

So, you, if anyone, should be able to innovate the worker experience. You should be able to put all that systems smarts into designing the warehouses and factories of the future. You should be able to create systems that allow your warehouses to work at absolutely peak efficiency while providing the worker safety and satisfaction level we Americans have come to consider a basic human right.

We need to show our workers (and more importantly, American employers) that it is possible to have a highly efficient warehouse and excellent working conditions — that it’s possible to out-produce our foreign competitors, at a lower cost, and with greater quality.

Here’s the thing, Jeff. If you can’t do it, I don’t know who else can. So, to that end, you’re kind of our last, great hope. Otherwise, the only company we can pin our hopes on is Wal-Mart. Jeez, that’d suck.

So step up to the plate, Mr. Bezos. Show the world that America can knock one out of the park on behalf of its workers. Show the world that America still has game.

I know you can do it. After all, whenever I want anything, anything at all, I just go to Amazon, hit search, and then press a button to get it the next morning. So, I’m doing that now. I’m going to Amazon and asking for something: better job quality for American workers.

I’m a Prime member, so as I push the 1-click button, the timer is starting. I don’t necessarily expect better job quality by tomorrow morning, but, hey, see if you can do something by the end of the year, okay?

Thanks,
David

P.S. Yes, I’m probably going to buy one of your tablets, too. Sigh.

Image credit: generic warehouse image courtesy Flickr user Nick Saltmarsh

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In addition to hosting the ZDNet Government and ZDNet DIY-IT blogs, CBS Interactive's Distinguished Lecturer David Gewirtz is an author, U.S. policy advisor, and computer scientist. He is featured in The History Channel special The President's Book of Secrets, is one of America's foremost cyber-security experts, and is a top expert on saving and creating jobs. He is also director of the U.S. Strategic Perspective Institute as well as the founder of ZATZ Publishing.

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RE: Challenge to Amazon: show the world America values workers
reginebautista 7th Nov
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when you have an agenda
oneleft 26th Sep
it's called yellow journalism.
Seriously, what is your problem? You single out Apple as though 10 years ago, when Apple was nothing, all the other tech companies were not having stuff made in China.
As though they don't to this day.

Jobs "might" be able to sleep at night? Nice. You're a class act through and through.

I'd bet money you spend sleepless nights trying to figure out how to get your digs in regarding Apple. Because I didn't read a single whine from you about all the other companies sending jobs overseas and their CEO and the poor people slaving away for them.

Move on. This is not good for your health. It's ugly and obvious.
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not yellow journalism
bmeacham98@... Updated - 26th Sep
@oneleft It's not yellow journalism, it's just good writing. He is contrasting Bezos to Jobs. He could have contrasted Bezos with Jobs, Dell, (name of current HP CEO) and many others, but to make his point he picked just one. That does not invalidate the point.
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It's over here
Robert Hahn 26th Sep
@bmeacham98@...
No, what invalidates the point is that the suicide rate in the United States is higher than it is in Foxconn factories.

Foxconn has a million employees. That's a city the size of San Diego. The "Foxconn suicides" numbered 18. San Diego has over 300 per year.
@Robert Hahn....
The suicide rate you quoted for San Diego is for the entire counties of San Diego with a population of 2.5 million, not one million.... second a good portion of that rate in our city has to do with the high rate of suicide among the military personnel here.. in particular the marines have been hard hit. Something tells me that having to go into battle is a little more stressful than working at a factory.
@Robert Hahn People aren't killing themselves because they live in San Diego. I can't imagine having my self-image so tied to a consumer product that I'd defend inhumane working conditions and suicide.
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Absolutely ridiculous.
Cayble 26th Sep
@Robert Hahn
You make an absolutely ludicrous comparison. Its so baseless it makes me wonder if even you think anyone will fall for it.

Here is the problem with your ridiculous Foxxconn/San Diego comparison, just in case you yourself actually think it has any merit whatsoever. Unless San Diego is somehow unusual in the general scheme of big cities, the reasons for suicide at large in any normal community has to do with depressive or hopeless feelings, feelings witch can be generated quite often by diagnosable mental illnesses or feelings which could have been generated by any number of social problems the individual may have come up against that they can no longer handle. Things like drug or alcohol abuse, bad domestic relationships, death of a child or other loved one, or as a very poignant issue; being out of work for a long period can and often does create great bouts of depression. Point being, a city is in fact a city and it encompasses a massive base of people who could provide just about every reason for a suicide there is. One would expect that to create a significantly higher rate of suicide then any closed system of a similar size, unless of course the closed system had inherent issues in it that were conducive to creating suicidal thoughts.

One would also expect it to be reasonable that of all places, in a country where a decent manufacturing job would normally thought of as good fortune, that when the "closed system" one is looking at is a big name international company that is your employer, suicide on the job would normally be the rarity of all rarities. In a country like China, one would expect if anything, working for a big company like Foxxconn should be at least one ray of light in ones life, even if you have other troubles.

But no, people are committing suicide right on the job in noticeable numbers, and that IS an issue far more focused and directly related in all probability to the workplace itself where suicide in any large general community would take similar suicides into account along with every other possible reason under the sun anyone might have for committing suicide for any possible reason, often much of which has little or nothing to do with the job of the person in question.

With no hard statistics its an especially meaningless comparison you have made.
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It's the Post Office!
Robert Hahn 26th Sep
It amazes me that all these folks realize that there will be multiple causes for suicide in any population of one million, but all of a sudden when it suits their purposes, there is only one cause of suicide in a certain population of one million. None of the Foxconn employees could be suffering from non-situational depression, none of them could have just been crapped on by the love of their life, none of them could be acting according to cultural norms that we don't understand... nope, all the armchair geniuses here know exactly why eighteen people on the other side of the Earth offed themselves.

BTW, did we in the U.S. ever figure out what causes people to "go Postal"?
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Two faced no doubt.
Cayble Updated - 26th Sep
@oneleft
Why did he mention Apple? Simple, its been in the news about this not so long ago and its a story thats easily recognized by most in the IT industry and the Apple story itself illustrates a great deal of the problems facing the west in general when its in competition for jobs that China is offering up their labor force to engage in.

Yes...the problem is, to a large degree in fact that American workers do not want to sleep on dirt floors or in a dorm away from their families piled up like cord wood. And yes, if you do not want to live or work under those conditions, and you want a decent crack at the American dream, its going to cost you more to live in a decent apartment or house then it would to live in old shacks with dirt floors, and of course that money its going to cost has to come by way of a job. Of course that job is going to have to pay more then China is willing to pay (hence their need for dirt floors) and as a result if you get that high paying job, the company you work for will have to charge more for its products then China would because in China they don't necessarily have to pay enough to keep you from sleeping on a dirt floor; so they don't, and then if you were Chinese you would.

Sure, other companies do it as well as Apple, but seriously, nobody has profited by this labor in China perhaps more then Apple and Apple is involved in the most recent high profile stories about the practice so all in all it makes sense to use Apple as a reference point. It makes imminent sense, like it or not.

The story isn't about trying to level the playing field for Apple in such diiscussions...admittedly unfortunately for Apple. The fact is the article isn't about trying to sully the reputation of any individual company, its an article about the potential impact companies like Amazon, and Amazon in particular can have on the unemployment rate in the States if they shun outsourcing practices like Apple and similar companies do. It also highlights what a negative impact doing that kind of outsourcing can have on a company by pointing to Apple as a recent example of the kinds of working conditions workers are often subjected to in MANY foreign countries and why thats a bad thing for America generally.

I personally have no problem with a writer hauling out any big companies dirty laundry, so long as its being done in a factual way as opposed to pure speculative ramblings. And that means Microsoft, Apple, HP, General Motors or McDonald's and the rest are all fair game when they get themselves caught up in such a thing. Engage in questionable business practices and take your beats when your bet doesn't pay off. After all, there should be some price to pay would you not agree?

But you, ...no, you don't want Apples name dragged into any negative story do you? Not even when they do something like send their manufacturing needs out of the very country that is their home and provides them with a massive customer base for their products.

You of course put it that "You single out Apple as though 10 years ago, when Apple was nothing, all the other tech companies were not having stuff made in China", seeming to indicate a lengthy list of American companies who are doing this or having done this would have absolved the writer of wrongfully besmirching Apple if the full list was included in his article. I guess at least you could have said "See! Apple isn't any more evil then dozens of other companies, just the biggest of the bad!"

Your comments reek of a two faced approach and when Apple is behaving less then great in certain areas, the world needs to be reminded of this. I seem to recollect that Apple enthusiasts in the past have seen no problem with that very approach when the questionable actions were on the part of Microsoft, so lets take a little break from your self righteous attitude and try putting your blatant bias away and read the article for what its really talking about.

The most brilliant thing Steve Jobs ever did was to train legions of Apple fanatics to comb through the vast internet to seek out ANY possible negative connotation about Apple and to rail against it without quarter.
Foxconn makes products for other companies as well.. why single out Apple?!
Umm... he singles out Apple because they are the biggest and most successful? What's hard to understand about this?

Excellent article. This needs to be said.
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You buy mine, I won't buy yours
Robert Hahn 26th Sep
Only in La La Land do corporate CEOs move jobs overseas. I'll tell you who really does it, and I know because I've tried to stop it. It's the guy in the mirror. You know, the one who looks at two products in Wal-Mart, sees one at $39.95 and another at $22.95, and buys the Chinese-made $22.95 one.

No amount of syrupy prose can keep the company that is trying to pay American wages in business if Americans won't pay for those wages.

I did a consulting gig at a household-name American company with factories in upstate New York that was under attack by a Japanese competitor manufacturing in Thailand. We cut costs to the bone, plastered American flags all over the box... nobody cared. Eventually the company wised up, moved the factory to Mexico, and went on its way. I'm sure the author here will blame the CEO for doing that, even as he orders the cheaper foreign-made product from Amazon on his next trip there.
@Robert Hahn You should have tried what Wal-Mart did. When I was working for a freight broker, I learned that Wal-Mart's "American" bleach was being made in Canada. A dummy corp was set up across the border that was just an empty warehouse. Canadian trucks would bring the bleach to the warehouse, it'd be offloaded and then <nloaded to American trucks, papers were signed, and voila! "American" bleach was shipped out to stores.
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Low cost labor
Robert Hahn 26th Sep
Hey, at least they were providing gainful employment to impoverished Canadians, who otherwise would have to eat grubs and worms.
Does anyone else find the "See also" links embedded throughout this article annoying?

Also, did I miss something? Are Amazon's picking warehouses known for some bad working conditions? I guess I'm a bit lost on that.
@Luka16 There's a small link to a story about conditions at an Amazon warehouse at the beginning of the article. Unfortunately, it's linked with the 'clever' wiki-style phrase "as we've been reading" instead of the search (and reading) friendly language (and bold print) reserved for the 'see also links' (including the 'Read my Book' one).

I suppose David thinks he's building his case with all these links to supporting information, but all it really does it muddy the message in confusion and vauge patriotic double-speak. No wonder it's called "ZD Net Government."
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Nonsense!
MSFTWorshipper 26th Sep
We need to show our workers (and more importantly, American employers) that it is possible to have a highly efficient warehouse and excellent working conditions ??? that it???s possible to out-produce our foreign competitors, at a lower cost, and with greater quality.

Working conditions, quality, cost. Pick any 2, you can't have all 3. Especially with American unions.
@MSFTWorshipper why trash the unions for providing the 'livable' working conditions you enjoy. Unions exist to protect and enhance working conditions and get the best deal they can for workers. It is up to management to decide if their demands are affordable
@MSFTWorshipper They do it in Germany just fine. Their unions are stronger than ours ever were. They have a trade surplus with China, strong manufacturing, their government has a surplus of cash and their citizens actaully have money to save in their bank accounts. It's amazing what can happen when the people run the country, not the corporations. The anti-union propandists don't want to talk about that or the fact that the middle class grew exponentially with the growth of union membership from the new deal to the mid-seventies and has shrunk as they have been successfull at union busting.

Instead of cozying up the the corporate class who in America are way overpaid and way undertaxed, maybe you can thank workers who fought and even died so that we could have child labor laws, workplace saefty, health insurance, unemployment insurance, the weekends off, the 40 hour work week, and middle class wages, worker's comp. The unions did that, not capital and not the politicians.
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You are kidding, right?
jilltre800 26th Sep
Blaming Apple for the conditions at Foxconn? Or begging Bezos to 'step up' ... your article is nothing but a whine fest... ANY company that wants to stay in business offers the best competitive prices - it's Business 101...
@jilltre800 That's the problem, it's business 101. Unfortunately the effects it has on a country are only covered in economics 101, which business students are apparently sleeping through.
Amazon has successfully destroyed most of the retail book trade in United States, to such an extent that even a giant predatory corporation like Borders could no longer compete. Why would you expect them to care what happens to the rest of the United States' remaining employed workers? (And every time you order from Amazon rather than a bookstore, David, you are part of the problem, not the solution.)

Amazon has a long, ugly history of making sure that none of its warehouse workers have decent conditions, union representation, etc., in the finest tradition of the Wal-Marting of America. Why would Bezos change that model now?

I won't even bother to respond to the moron who writes under the name "MSFTWorshipper", since he seems to live in some parallel world where unions are the problem instead of the solution.

As to the rest: the urban legend of Foxconn suicides is a myth used to beat up on Apple.
@orangemike
You do realize that companies like Walmart, selling books online, contributed to the destruction of the retail book trade more than Amazon, right?
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Are you serious? American consumers value cheaper stuff; American CEOs value higher stock price; etc. - which leads to the conditions that you described.
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What does it cost?
pwatson 26th Sep
Are you ready to send more money to Jeff in order to make this happen?
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The Consumer wants cheap and the CEO/shareholder/investor wants profits, put these together and manufacturing goes overseas.
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The American Household...
Zorched 26th Sep
...if run correctly, is like any other business: Try to have more In's than Out's on the books.

If a Company (family) Buyer (insert your name here) looks at two products, both seemingly similar with similar warranties, they will choose the cheapest one. If it's cheap enough, even service becomes irrelevant as it then becomes disposable instead of repairable. The only way to defeat this is to offer something better for the money, to make the purchase WORTH the extra cash. Americans companies (other than Apple, and they're still offshoring) have so far failed to do this, and only made things worse when they sent customer support to India. Ironically, American customer support almost stinks worse lately. I got hung up on by Citibank just the other day because the person was too impatient to let me explain the situation. Why does this happen? Because companies want to benchmark employee's work, and the only way to quantify support calls is to base it on number of calls completed, NOT number of satisfied customers. So, Citibank will lose a customer, and I sadly look forward to dealing with an Indian person, because at least they are polite. Sad, Isn't it? This is what corporations, in their search for the bottom line, have wrought upon themselves.

Eventually, thing will get so bad companies will start losing marketshare simply because no one makes enough money to buy their stuff. They will then either leave the country to richer grounds or be forced into a new paradigm.

History has proven repeatedly that until things get bad enough, the status-quo will be maintained. We have not reached that point of misery yet.

I suspect we will look a lot like Japan did for the last 20 years: floundering to stay above water with increasingly crushing national debt (because those rich enough to pay taxes bought off enough politicians so they don't have to).

Welcome to the 21st century.
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I've tried to make a stand-alone post 3 or 4 different times to this discussion, and then I tried making a post as a reply to somebody's post, and in all cases, the posts have either not been "posted" or they've been removed the next time I look at the discussion.

So, what's up?!?
If I might interject a small portion of actually pertinent information into this discussion, the author is way off base. I have worked for Amazon.com in one of their facilities for approx. twelve years now. The facility is a warehouse yes, but it is utterly ridiculous to compare the conditions to China. Amazon employees are paid wages well above minimum ($12.00-16.00)per hour. They have full benefits available to them, including vision and dental. There is monthly bonus computed using relevent factors (safety, attendance, prduction, etc.) The hours are long and you are expected to work, not wander around and sit on your tail. If the temperatures get too high employees are reminded to hydrate and stop if they are starting to have problems. Extra breaks are given during periods of high temp. As for the overtime every employee is told at hiring that this is a possibility. All overtime is first filled with volunteers and if necessary made mandatory. I have seen plenty of exceptions given for people with child care conflicts. The overtime is necessary because there are folks who want their ONE CLICK Next DAY items NOW. I don't work for management, I'm a picker. I select the items you order and send them to be packed. I'm sixty six and I don't have a problem with Amazon. Compared to other employers I've had Their attention to my welfare and to safety in general is very refreshing. You need to do more than regurgitate other peoples columns. As an Amazon employee, I could care less about Apple or Foxconn. My only concern is that you get the item you order in pristine condition and in the shortest time possible.
Most, that is MOST of you make a valid point. In English class you are taught to be specific & not generalize when writing an article. Which the author has done. And the point of the article is if you have NO middle class to buy your product where do you go? WE the U.S. by our consumerism drives the rest of the world if we can't afford to by products because we need the money just to survive who is going to be the 'consumer'?
Forget about which companies are part of the articles comparison. Outsourcing is an automatic with American companies these days - clothing, motherboards, Flat Panel TVs, Automotive Components etc... Chinese workers really don't have any rights and they are cheap labor period. The American know-how and cutting edge technology we know today can combine technology with workers to produce competitive manufacturing facilities and not send jobs overseas. "DON'T SEND JOBS OVERSEAS!" It's nice to grow a company with a well known brand in the U.S. and count on stability, law and order, and the right to enjoy the profits. The Men and Women at the Local, State and Federal(FBI/Military) levels of Law Enforcement, ultimately preserve our freedoms with their sacrifice. Their is a cost for doing business in the US and it's time Companies start sharing that cost by re-investing back into manufacturing in our country.
Just, one persons opinion!
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Karma's a b-word
hiraghm@... 27th Sep
First, you lose all credibility when you invoke "middle class jobs". That's the new leftist code word for "union jobs".

Second, where were you back in the 1970s when everyone was buying crappy little peddle-cars that were prone to breaking down, used non-standard parts (including such little things as screws and bolts), but were cheap and comparatively fuel-efficient? Where was your bleeding heart then for the poor American automakers, stuck with their lazy, greedy, inept, *unionized* workforces? American business found a solution for their problem by "outsourcing" (and hiring illegal aliens; curious how the federal gov't does everything in its power to keep us from sealing the borders, huh?). But, if those American consumers wanting Amazon and other companies to be loyal to American workers now had been loyal to American companies in the past, outsourcing wouldn't have happened. You wanted to buy the cheapest product without regard for how it was made, its quality, or the needs of American business, fine. Don't whine now when American business has done the same thing.

I'd love a job in an Amazon warehouse; I'd work hard, efficiently and intelligently (not being a union worker). As for a dirt floored hut... might be a tad roomier than a minivan to live in.

In my opinion, no "worker" should be "middle class". Some of these middle-class (read: union) workers make six figures a year. The middle class should be reserved for entrepreneurs, people who stick their necks out and work for themselves, start small businesses and hire workers. It's not for moral cowards who get paid exorbitant amounts to pull a lever in a factory, with a full benefits package so they don't ever have to think about taking responsibility for their own lives (once upon a time, this type of work relationship was called "feudalism", and such workers were called "serfs".)

An exception might include people with particularly hazardous or unpleasant jobs, like firemen or garbage collectors.

But, a true meritocracy is a fantasy in modern-day America.
Let's face it, abuse of labor is one of the ways companies improve profit margins. Apple turns a blind side to the problem in China and Amazon does the same in the US. We should welcome articles that shine a bright light on companies that are egregious in their practices. The whole world is in a race to bottom and we need all the help we can get to slow it down if not reverse the trend.
@sam_sawyer@... You and the author are stuck in a parallel universe. AMAZON DOES NOT ABUSE ITS' WORKERS!!!! You are paid a fair wage, offered first class benefits, and given a clean safe working environment. There are boards to annoymously post complaints and suggestions. There are forms you can submit if you spot a serious problem and management will respond within 48 hours.
You are expected to work for your pay, and you are given coaching if you fall behind.
The problem is that more than hqlf the new employees that start don't last 2 weeks. They want to stand around and shoot the breeze or make dates. They can't take criticism no matter how objective. They get upset when they're told to pull up their pants, put up their hair so it doesn't get caught in the machinery, or wear reflective vests, cut gloves and other protective equipment.
This is why Amazon gets most of their new hires from an agency. It saves them the time of doing background checks for someone who can't take it and quits after a couple days.
I guess this is what you call "abuse of labor". I call it good management. I've been with them for twelve years and laugh at the younger people that can't handle it. They're soft and they expect everything handed to them.
Oh among the other abuse Amazon heaps on employees is the requirement to be here legall, and be a high school graduate. That's something else I love about them. There are NO illegals taking American jobs.
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Coca Cola...
adornoe@... 27th Sep
just this week, mentioned the real problems with why America is falling behind and uncompetitive.

The head at Coke mentioned that, the U.S. is more "business unfriendly" than even China.

Incredible!

And here we are, talking about the wrong causes and pleading with the corporations who are the targets of that bad business environment.

Ironic and insane!
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In my not so humble opinion...
Brian J. Bartlett 27th Sep
You are holding the wrong person responsible here. In any rational economy, jobs that can be outsourced should be outsourced. That is one half of what comparative advantage is about. The other half is that workers (labor) is able to take other jobs that play to our comparative advantage and this is where we have a fundamental failure. Our workers are simply unable to take those jobs, they are completely incapable. It is our educational system that is behind this fundamental failure. Amazon, in a rational world would replace those warehouse workers with robots that don't require a pension or health care. They are upfront capital investments suitable for a depreciating expense over time (a net gain for the corporation. Then the workers should be able to retrain to maintain these robots or slip into other jobs around the business.

Frankly, this education system is a legacy of our unions, which find job reclassification/retraining anathema. They just want to ensure a future stream of union dues rather than support the workers. The other half of that (these things involve a lot of haves) is a rigid education establishment that firmly believes that children are units of production, each the same. That and unions involvement there as well.

I don't see this changing without a revolution. The entrenched interests have far too much to lose.

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