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Amazon fears it will run out of workers in the US due to very high churn

MrSquished

Lifer
Jan 14, 2013
10,582
6,917
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They fear they will literally have nobody left to hire if this churn rate keeps happening. Apparently people join Amazon and quit quickly. Obviously less skilled jobs will have higher churn, but this sounds rather remarkable. Anecdotally, I talked to a VP at JPMorgan who worked as a higher than mid-level manager at a busy NJ fulfillment center. He said the work there was pretty brutal and how they were with rating productivity, breaks, etc...Which was also tough on the managers, which is also partly why he left. Everyone likes to say, well they pay $15/hr which is so good - apparently that's not a high enough value for the work that goes on in these warehouses, and I'm sure that varies state to state where $15/hr gives you virtually no standard of living vs some.


Amazon has been hiring hundreds of thousands of workers for roles in its warehouses, which it calls fulfillment centers, but those employees have been quitting almost as fast as they can be hired, according to a huge report from The New York Times published on Tuesday.

Many of the over 350,000 workers Amazon hired from July to October stayed with the company "just days or weeks," the report said.

Hourly employees had a turnover rate of about 150% every year, data reviewed by The Times indicated. That led some Amazon executives to worry about running out of hirable employees in the US, the report said.
 

nOOky

Platinum Member
Aug 17, 2004
2,023
853
136
It's unreasonable for these people to not want to work at a shitty job for shitty pay in a shitty work atmosphere while the owner pays very little taxes and is worth billions. How else will they achieve the American dream if they don't get off their lazy asses and at least try to be a billionaire by working for Amazon? Lazy slouches, I bet they're sucking the extra unemployment teat and sitting on their asses. The economy needs their slave labor.
 

MrSquished

Lifer
Jan 14, 2013
10,582
6,917
136
This country treats unskilled labor like trash. They are supposed to work like robots, get paid less than 30K a year, go back to their below standard lives, then wake up and do it again, for years and years. Labor is just not respected in many industries.

Bezos created Amazon. One of the most impressive companies in the history of the world. But at the end of the day, it will fail without its worker drones, yet they are dismissed as trash by so many in this country. Pretty much the GQP party, the party of the average Joe working man.
 

repoman0

Diamond Member
Jun 17, 2010
3,425
1,781
136
Good, those shitty warehouses sound completely dehumanizing and Amazon can afford to pay and treat its warehouse workers better to draw them back. I’ve been avoiding them almost entirely for the past year or two in favor of giving my money to less garbage businesses.
 

fskimospy

Elite Member
Mar 10, 2006
72,499
23,413
136
This is one of the underrated benefits of actually attempting to get to full employment instead of limping along all these years. Sure we could regulate work and prevent Amazon from having these conditions but enforcement is cumbersome and laws are hard to write that cover everything.

An easier and better answer is to make places like Uber, Lyft, and Amazon actually compete for workers because their staff can just quit and go elsewhere.

Instead of all these fancy people at the fed trying to work out what the optimal interest rate/fiscal policy is maybe we should just keep rates low and deficit spend until Amazon is forced to treat their workers decently.
 

ivwshane

Lifer
May 15, 2000
29,383
9,606
136
This is one of the underrated benefits of actually attempting to get to full employment instead of limping along all these years. Sure we could regulate work and prevent Amazon from having these conditions but enforcement is cumbersome and laws are hard to write that cover everything.

An easier and better answer is to make places like Uber, Lyft, and Amazon actually compete for workers because their staff can just quit and go elsewhere.

Instead of all these fancy people at the fed trying to work out what the optimal interest rate/fiscal policy is maybe we should just keep rates low and deficit spend until Amazon is forced to treat their workers decently.
Which is also why we need universal health care, so employees are more empowered to leave a shitty job.

When a business has a high churn rate, it’s not the employees that are the problem, it’s management. With a company as big as Amazon, it’s more than just lower level management, it’s the upper management that is the issue, more specifically the ceo.
 

cytg111

Lifer
Mar 17, 2008
16,308
6,205
136
Seriously, as we do with exchange students, some of you should take a half year contract somewhere in Scandinavia. See how it can be if the wealth is distributed just a little bit different. Not much, just a little bit.
 

Wreckem

Diamond Member
Sep 23, 2006
9,323
777
126
I know someone that works in an Amazon warehouse part time as a second job. They abg 40000 steps a day when they work. A normal person cannot sustain that for long.
 

woolfe9998

Lifer
Apr 8, 2013
13,450
8,634
136
Yes, well, I too know someone who works there. She works in their corporate offices - though she's allowed to telecommute 3-4 days a week - makes 15x what the warehouse workers do, and any steps she takes on a daily basis are not on account of her job. The only bodily movement required is her fingers across a keyboard.

I suspect if Amazon is seeing this much churn in their warehouses, they're smart enough to eventually make adjustments to either pay, working conditions, or both.
 

vi edit

Elite Member
Super Moderator
Oct 28, 1999
61,116
4,776
126
Yes, well, I too know someone who works there. She works in their corporate offices - though she's allowed to telecommute 3-4 days a week - makes 15x what the warehouse workers do, and any steps she takes on a daily basis are not on account of her job. The only bodily movement required is her fingers across a keyboard.

I suspect if Amazon is seeing this much churn in their warehouses, they're smart enough to eventually make adjustments to either pay, working conditions, or both.
The churn won't change anything. So long as people are applying and showing up, they won't change. Only thing that will force change is no one wanting to work for them and/or consumer activism boycotting them enough that they start to feel it.
 
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vi edit

Elite Member
Super Moderator
Oct 28, 1999
61,116
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My last employer (A director over my division) told me on Day 2 of working there "You either drink the Koolaid here or you quit". Welcome to corporate culture. There is no desire to change.
 
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woolfe9998

Lifer
Apr 8, 2013
13,450
8,634
136
The churn won't change anything. So long as people are applying and showing up, they won't change. Only thing that will force change is no one wanting to work for them and/or consumer activism boycotting them enough that they start to feel it.
Even with available replacements, isn't the churn still a problem as at any given time, most of their workers are totally inexperienced?
 

mect

Platinum Member
Jan 5, 2004
2,272
1,335
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This is one of the underrated benefits of actually attempting to get to full employment instead of limping along all these years. Sure we could regulate work and prevent Amazon from having these conditions but enforcement is cumbersome and laws are hard to write that cover everything.

An easier and better answer is to make places like Uber, Lyft, and Amazon actually compete for workers because their staff can just quit and go elsewhere.

Instead of all these fancy people at the fed trying to work out what the optimal interest rate/fiscal policy is maybe we should just keep rates low and deficit spend until Amazon is forced to treat their workers decently.
Along with a strong enough social safety net that employees don't feel like their only options are to either accept the shitty working conditions or starve. And so that employees have sufficient time outside of work to search for better employment.
 

vi edit

Elite Member
Super Moderator
Oct 28, 1999
61,116
4,776
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Even with available replacements, isn't the churn still a problem as at any given time, most of their workers are totally inexperienced?
Bad productivity is still more productivity than no productivity. And I'm sure they've run a dozen different models on what their return on better pay and a happier/more productive workforce is vs lower pay and eternal churn. Obviously they find churn acceptable enough that they don't care enough to resolve it.
 

tweaker2

Lifer
Aug 5, 2000
12,181
3,495
136
Automation must be hard to integrate there. If it were possible there'd be bots repairing sorting bots to keep them running.

I'm sure the bean counters there are in a desperate search for ways to cut out humans from the workforce seeing how they'd much rather install as many revolving doors at the employees entrance as possible than find ways for their hired help to have reasons to stay there.
 
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