Amazon.com Inc. AMZN spent more than $3 million in 2023 on consultants to discourage unionization among employees in its delivery network.
What happened: The Seattle-based e-commerce giant has been actively hiring “persuaders” to dissuade workers from forming unions. The company’s total spending on such consultants in 2023 exceeded $3.1 million, according to documents filed with the Department of Labor.
Amazon, which has become the largest warehouse employer in the United States, is facing unionization efforts from various labor groups.
Mary Kate Paradise, an Amazon spokesperson told HuffPost that the company is “proud to invest tens of billions of dollars in things like free college tuition, healthcare, good wages, and safety programs.”
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He added: “We also know that there are external organizations that work hard and spend a lot to spread inaccurate information about us to our teams. Therefore, like many other companies, we also work to ensure that our employees are fully informed about their rights and how decisions about external representation may impact their daily lives working at Amazon.
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Amazon’s union-busting spending is down significantly from the previous two years: The company spent $14.2 million in 2022 and $4.3 million in 2021, according to official Department of Labor documents.
Two consultants reaped the most from Amazon’s anti-union efforts in 2023 – based in Michigan Rayla group of Penne Familusi received $1.33 million, while residing in Massachusetts Lev Labor by Katherine G. Lev received $1.05 million.
Because matter: Amazon’s union-busting activities have been the subject of controversy.
In 2023, the company was found guilty by a National Labor Relations Board (NLRB) for violating federal labor laws at its JFK8 warehouse in New York. The judge ruled that Amazon had illegally interrogated and threatened employees involved in union activity.
Despite this, Amazon continues to resist efforts to unionize its workforce.
Price Action: Amazon shares closed 0.31% higher at $180.38 on Friday, according to Benzinga Pro.
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Disclaimer: This content was partially produced with help from Benzinga Neuro and was reviewed and published by Benzinga editors.
Photo courtesy of: Joe Piette on Flickr