Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

ND-Dem

ND-Dem's Journal
ND-Dem's Journal
February 5, 2015

Worse than Wal-Mart: Amazon’s sick brutality and secret history of ruthlessly intimidating workers

When I first did research on Walmart’s workplace practices in the early 2000s, I came away convinced that Walmart was the most egregiously ruthless corporation in America. However, ten years later, there is a strong challenger for this dubious distinction—Amazon Corporation. Within the corporate world, Amazon now ranks with Apple as among the United States’ most esteemed businesses. Jeff Bezos, Amazon’s founder and CEO, came in second in the Harvard Business Review’s 2012 world rankings of admired CEOs, and Amazon was third in CNN’s 2012 list of the world’s most admired companies. Amazon is now a leading global seller not only of books but also of music and movie DVDs, video games, gift cards, cell phones, and magazine subscriptions. Like Walmart itself, Amazon combines state-of-the-art CBSs with human resource practices reminiscent of the nineteenth and early twentieth centuries...

Amazon’s shop-floor processes are an extreme variant of Taylorism that Frederick Winslow Taylor himself, a near century after his death, would have no trouble recognizing. With this twenty-first-century Taylorism, management experts, scientific managers, take the basic workplace tasks at Amazon, such as the movement, shelving, and packaging of goods, and break down these tasks into their subtasks, usually measured in seconds; then rely on time and motion studies to find the fastest way to perform each subtask; and then reassemble the subtasks and make this “one best way” the process that employees must follow.

As with Walmart so at Amazon, there is a quasi-religious cult of the customer as an object of “trust” and “care”; Amazon “cares about the customer,” and “everything is driven” for him or her...Amazon’s larding of its customer cult with the moral language of “care” and “trust” comes with a strong dose of humbug because Amazon’s customers are principally valued by the corporation as mainstays of the bottom line...There is still more humbug in the air because Amazon treats a second significant grouping of men and women with whom it has dealings—its employees—with the very opposite of care and trust...

In its US and UK fulfillment centers, Amazon management is hegemonic. There is no independent employee voice to contest management’s demands for increased output unmatched by increases in real wages...at all Amazon’s centers...in the United States and the United Kingdom, the cult of the customer is a serious matter and provides the rationale for the extreme variant of scientific management whose purpose, as at Walmart, is to keep pushing up employee productivity while keeping hourly wages at or near poverty levels.

As at Walmart, Amazon achieves this with a regime of workplace pressure, in which targets for the unpacking, movement, and repackaging of goods are relentlessly increased to levels where employees have to struggle to meet their targets and where older and less dextrous employees will begin to fail. As at Walmart, there is a pervasive “three strikes and you’re out” culture, and when these marginal employees acquire too many demerits (“points”), they are fired...

Amazon’s system of employee monitoring is the most oppressive I have ever come across and combines state-of-the-art surveillance technology with the system of “functional foreman,” introduced by Taylor in the workshops of the Pennsylvania machine-tool industry in the 1890s...Beyond this poisonous mixture of Taylorism and Stakhnovism, laced with twenty-first-century IT, there is, in Amazon’s treatment of its employees, a pervasive culture of meanness and mistrust that sits ill with its moralizing about care and trust—for customers, but not for the employees. So, for example, the company forces its employees to go through scanning checkpoints when both entering and leaving the depots, to guard against theft, and sets up checkpoints within the depot, which employees must stand in line to clear before entering the cafeteria, leading to what Amazon’s German employees call Pausenklau (break theft), shrinking the employee’s lunch break from thirty to twenty minutes, when they barely have time to eat their meal...

Perhaps the biggest scandal in Amazon’s recent history took place at its Allentown, Pennsylvania, center during the summer of 2011. The scandal was the subject of a prizewinning series in the Allentown newspaper, the Morning Call, by its reporter Spencer Soper. The series revealed the lengths Amazon was prepared to go to keep costs down and output high and yielded a singular image of Amazon’s ruthlessness—ambulances stationed on hot days at the Amazon center to take employees suffering from heat stroke to the hospital. Despite the summer weather, there was no air-conditioning in the depot, and Amazon refused to let fresh air circulate by opening loading doors at either end of the depot—for fear of theft. Inside the plant there was no slackening of the pace, even as temperatures rose to more than 100 degrees. On June 2, 2011, a warehouse employee contacted the US Occupational Safety and Health Administration to report that the heat index had reached 102 degrees in the warehouse and that fifteen workers had collapsed. On June 10 OSHA received a message on its complaints hotline from an emergency room doctor at the Lehigh Valley Hospital: “I’d like to report an unsafe environment with an Amazon facility in Fogelsville. . . . Several patients have come in the last couple of days with heat related injuries.”

Union success would unquestionably raise Amazon’s costs and slow the growth of employee productivity. Wages would begin increasing in line with employee productivity, and productivity growth itself would slow as the union and the Betriebsrat together blunted Amazon’s practice of pushing employees to the limit and beyond. We can be sure that at this point, Amazon would play the “cult of the customer” for all its worth and would do the same in an American setting if faced with the same challenge. So customers would have to start paying more for their packages and could no longer be absolutely certain of receiving delivery of them the very next day.

But should these marginal benefits to customers really be purchased at the price of a system that treats employees as untrustworthy human robots and relies on intimidation to push them to the limit, while denying them the rewards of their own increased efficiency? This is not a choice to be made solely with the economist’s narrow calculations of monetary costs and benefits. In quantitative, monetary terms, the cost to Amazon customers of a benign reengineering of the company would far outweigh the monetary benefits to employees. But what is the real value of such customer inconvenience when set alongside the value lost with the millions of lives damaged by Walmart, Amazon, and their ilk?

http://www.salon.com/2014/02/23/worse_than_wal_mart_amazons_sick_brutality_and_secret_history_of_ruthlessly_intimidating_workers/

February 2, 2015

10 Tall Tales on Trade: Fact-Checking Obama’s Top Trade Official

Yesterday was a difficult day for U.S. Trade Representative (USTR) Michael Froman. He had to go before Congress and explain how the administration’s plan to expand a trade model that has offshored U.S. manufacturing jobs and exacerbated middle class wage stagnation fits with President Obama’s stated “middle class economics” agenda. Inconveniently for Mr. Froman, it does not.

Here’s a rundown of the top 10 fibs and half-truths that Froman uttered before the Senate Finance Committee and House Ways and Means Committee yesterday in his sales pitch for the administration’s bid to expand the NAFTA “trade” pact model by Fast-Tracking through Congress the controversial Trans-Pacific Partnership (TPP).

1. Fast Track Puts Congress in the Driver’s Seat (of a Runaway Car, without Brakes or a Steering Wheel....)

2. A Trade Surplus with Our FTA Partners (Does Not Appear in Official Government Data...)

3. We Wish to Ensure Access to Affordable Medicines in the TPP (but Big Pharma Won’t Let Us...)

4. Most Exporters are Small Businesses (that Have Endured Slow and Falling Exports under FTAs...)

5. We Try to Be Transparent (with the Corporate Advisors Who Can Access Secret Texts...)

http://citizen.typepad.com/eyesontrade/trans-pacific-partnership/

Profile Information

Member since: Sun Jan 11, 2015, 11:34 PM
Number of posts: 4,571
Latest Discussions»ND-Dem's Journal