Jun 20, 2022 10:48:00

It is pointed out that Amazon may run out of labor by 2024

Technology company Amazon has achieved unprecedented growth due to the rapid increase in demand for mail order and the improvement of logistics services, and in recent years, it has launched new services such as

direct delivery service from retail stores to customers and delivery by drone . However, the number of employees involved in logistics services, which can be said to be the cornerstone of Amazon, is becoming insufficient, and it is known from internal materials that the labor force may be exhausted by 2024.

Amazon's workforce turnover is so high that it could run out of people to hire by 2024 --Vox
https://www.vox.com/recode/23170900/leaked-amazon-memo-warehouses-hiring-shortage

According to news site Recode, Amazon's internal research material leaked in mid-2021 shows that by 2024, the number of employees working in Amazon warehouses in the United States may be insufficient. .. Employee shortages have already reached dangerous levels in some areas, with Amazon having available workforce by the end of 2021 in the Phoenix, Arizona metropolitan area and by the end of 2022 in the Riverside-San Bern, California. It is expected to run out of everything.

Amazon handles the service of receiving, packing, and shipping customer orders almost 24 hours a day, 365 days a year with more than 1 million employees, but there are concerns that quality of service will deteriorate due to a shortage of employees. ..

Amazon has long been a productivity-focused employment format, and is known to cut off huge numbers of employees every year. According to Recode, Amazon founder and former CEO Jeff Bezos thought that 'employees are needed but can be replaced', and employees who stay in the company for a long time fall into some kind of self-satisfaction and are dissatisfied with the company. He was afraid to hold him. However, although this strategy was once considered effective, it has been pointed out that it may be at risk due to the exposure of Amazon's working environment and the growth of competitors.

As for Amazon's working environment,

warehouse employees, delivery staff, and even software engineers are complaining about the poor quality, and computer-based continuous monitoring of workers' every move, relatively high injury rate. Various problems have emerged. In addition, Amazon isn't as the best option as it used to be for people looking for jobs and associated wages at this type of facility, as traditional competitors are stepping up their investment in e-commerce warehouses. thing.

In response to this situation, it is also reported that Amazon may have taken steps to loosen control in some working environments and responded to worker churn. Michael Garrigan, a new employee manager at the Phoenix warehouse from 2020 to early 2022, told Recode, 'Amazon is so worried about labor shortages and loss of talent that we managers have to implement a policy. I withdrew everything. '

In addition to this, the internal investigation materials showed various improvements such as more aggressive recruitment and construction of warehouses in more accessible locations. Recode says, 'In addition to policy changes such as dismissal and hiring standards, raising wages is also an obvious way Amazon can expand its workforce. According to internal research, Amazon has a minimum wage of $ 1 (about). For every 135 yen increase, we expect to add 7% of workers to the potential employment pool. If Amazon does a little more and raises the minimum hourly wage by $ 1.5. , It could also expand the pool of potential workers and extend employment capacity in the United States for three years. '