After a particularly grueling shift lifting heavy boxes in an Amazon.com Inc warehouse in New York State, Keith Williams’ hands and wrist stopped working — when he woke up the next day, he could barely grasp a milk jug.
Williams blames the injury in February last year on the breakneck pace of work at the Amazon facility, which he said the company enforced by precisely measuring his productivity and pushing him to work faster.
“If you don’t scan a box fast enough, you end up on a list,” said William, who is working to unionize his warehouse with the International Brotherhood of Teamsters. “It was just too much for my body to endure.”
Photo: Reuters
Such injuries motivated lawmakers in Washington to introduce the Warehouse Worker Protection Act, a sweeping federal bill that would, among other things, closely regulate productivity targets in the warehousing industry.
The sector is one of the fastest growing in the country, employing nearly 2 million Americans.
However, companies are “treating workers like they are disposable,” said US Senator Ed Markey, the bill’s sponsor.
“Workers deserve consistent, reliable standards that ensure basic safety, dignity and respect in the workplace,” he said.
Markey’s bill, which mirrors more than a dozen similar proposals in US states, requires companies to tell employees what their quota or productivity targets are, as without knowing what is expected of them, workers can feel pressured into working harder and faster.
The bill also bars employers from holding workers to standards that regulators determine put their safety at risk.
The US Chamber of Commerce business association opposes the bill, which it says places too onerous a burden on the warehousing sector.
“This is intrusive micromanagement from the federal government,” chamber vice president of workplace policy Marc Freedman said in an interview.
Warehouses already aimed to keep their workers safe, and it was improper for regulators to tell companies how they should monitor and enforce productivity, he said.
Last month, California levied the largest penalty under its version of the law — a nearly US$6 million fine against e-commerce giant Amazon — citing the company for failing to disclose productivity targets as required by the law.
Similar fines have been levelled against discount retailer Dollar General, and food distributor Sysco.
Amazon, which is appealing the fine, disputes the notion that it has quotas in its warehouses.
“Nothing is more important than our employees’ health and safety,” spokeswoman Maureen Lynch Vogel said in a statement.
Amazon said that only a small number of workers were let go because of performance issues, and that workers were free to discuss expectations with their managers.
Fueled by an explosion of e-commerce and delivery, the number of jobs in the warehousing sector has nearly tripled over the past decade to nearly 2 million, data published by the US Federal Reserve showed.
However, it is dangerous work, with an injury rate more than double that of an average workplace.
Advances in monitoring technology and analytics give companies more tools to push workers to the brink of what is safe, said Jordan Barab, a former senior official with the US Occupational Safety and Health Administration (OSHA).
“With productivity algorithms you find out all sorts of sophisticated ways to make workers work faster, even if it’s less safe,” he said.
Introduced in 2021, California’s warehouse law, known as AB 701, was designed to take on these developments, requiring warehouses to disclose performance targets to workers directly and empowering regulators to intervene if they are unsafe.
“There’s no pause button. There’s no stopping. You have to keep making the rate,” said Nanette Plascencia, a worker and labor organizer at the ONT8 warehouse in Moreno Valley, one of the facilities cited by California regulators. “And if you slow down because you’re hurting badly, it’s still ultimately going to be your fault.”
Amazon said it had made progress in bringing down its injury rates and that workers could check their performance at kiosks in their facilities, adding that the nature of work in its warehouses was being mischaracterized.
“This isn’t how performance expectations work at Amazon. Our approach ensures everyone is on equal footing and their performance evaluation is insulated from things outside of employees’ control — like changes in the business, inventory, freight mix or seasonal impacts,” Lynch Vogel said.
With strong backing from union groups, which are trying to unionize Amazon warehouses across the country, variations of AB 701 have been taken up by other states, with similar laws passed in New York, Washington State, Oregon and Minnesota.
Minnesota State Representative Emma Greenman, who helped spearhead the law in her state, said the quota regulations were necessary for workers’ safety.
“One of the things that was getting people hurt was not knowing and speeding up to this opaque — felt pretty Orwellian — idea that, I don’t know if I’m going to be punished because I don’t really know what standard I’m being held to until I’ve not done it and I will be disciplined or fired,” she said.
Last month, the Minnesota Department of Labor and Industry fined Amazon over citations for not providing a written copy of a quota to workers in the state and for not protecting them from ergonomics hazards. Amazon has contested the citations.
Labor groups and workplace safety advocates have zeroed in on Amazon, which operates most of the country’s biggest facilities and is by far the largest player in the industry.
The California Labor Commissioner’s Office said it had created a list of warehouses that had more than 1.5 times the average injury rate for the sector, and conducted nearly 100 site visits.
“Amazon has been exploiting new tech and pioneering new management tactics,” said Irene Tung, a researcher at the nonprofit National Employment Law Project (NELP).
She coauthored a report released in May that said Amazon accounted for 79 percent of employment in US large warehouses employing more than 1,000 workers, but 86 percent of all injuries in those workplaces.
Amazon said in a statement that NELP was “misconstruing data, or intentionally leaving out important context in order to fit a false narrative.”
Last year, OSHA levied US$150,0000 in fines for safety violations at a number of Amazon warehouses across the US — Amazon has disputed the citations.
Amazon also appealed a decision issued this year by the French National Commission on Informatics and Liberty to fine the company 32 million euros (US$34.72 million) for setting up a system to monitor employee activity and performance.
The commission said the system was “excessively intrusive.”
The domestic unit of the Chinese-owned, Dutch-headquartered chipmaker Nexperia BV will soon be able to produce semiconductors locally within China, according to two company sources. Nexperia is at the center of a global tug-of-war over critical semiconductor technology, with a Dutch court in February ordering a probe into alleged mismanagement at the company. The geopolitical tussle has disrupted supply chains, with some carmakers reportedly forced to cut production due to chip shortages. Local production would allow Nexperia’s domestic arm, Nexperia Semiconductors (China) Ltd (安世半導體中國), to bypass restrictions in place since October on the supply of silicon wafers — etched with tiny components to
Taiwan’s foreign exchange reserves fell below the US$600 billion mark at the end of last month, with the central bank reporting a total of US$596.89 billion — a decline of US$8.6 billion from February — ending a three-month streak of increases. The central bank attributed the drop to a combination of factors such as outflows by foreign institutional investors, currency fluctuations and its own market interventions. “The large-scale outflows disrupted the balance of supply and demand in the foreign exchange market, prompting the central bank to intervene repeatedly by selling US dollars to stabilize the local currency,” Department of Foreign
Taiwan is open to joining a global liquefied natural gas (LNG) program if one is created, but on the condition that countries provide delivery even in a scenario where there is a conflict with China, an energy department official said yesterday. While Taiwan’s priority is to have enough LNG at home, the nation is open to exploring potential strategic reserves in other countries such as Japan or South Korea, Energy Administration Deputy Director-General Chen Chung-hsien (陳崇憲) said. While the LNG market does not have a global reserve for emergencies like that of oil, the concept has been raised a few times —
AI-FUELED DEMAND: The company has been benefiting from the skyrocketing prices for DRAM chips amid the AI frenzy, especially its core product — DDR4 DRAM chips DRAM chipmaker Nanya Technology Corp (南亞科技) yesterday reported that its revenue for the first quarter surged 582.91 percent to NT$49.09 billion (US$1.54 billion) from NT$7.19 billion a year earlier, as the supply crunch caused chip price spikes. Last quarter’s figure is the highest on record. On a quarterly basis, revenue jumped 63.14 percent from NT$30.09 billion, the company said. In January, Nanya Technology expected global DRAM supply scarcity to continue through the first half of 2028, thanks to strong demand for artificial intelligence (AI) applications. Market researcher TrendForce Corp (集邦科技) forecast prices of standard DRAM chips would rise between 58 percent and 63