On Wednesday, the National Labor Relations Board (NLRB) charged Amazon.com Inc (NASDAQ:AMZN), a joint employer of its Delivery Service Partner (DSP) drivers, for failing to acknowledge and bargain with the Teamsters Union.
As per the NLRB, Amazon employed multiple unfair labor practices to prevent union activities at a facility in Palmdale, California.
The charges against Amazon included its refusal to recognize the workers’ right to unionize, its refusal to bargain with the Teamsters over employment conditions, and the termination of its DSP contract.
Also Read: Amazon Boosts Worker Pay to Over $29/Hour, Invests $2.2B As Holiday Kicks In
They also alleged that Amazon threatened employees who joined the union with security guards and other forms of retaliation.
The NLRB urged Amazon to reinstate terminated drivers at the Palmdale facility.
Amazon always opposed the tag of the joint employer of its contracted delivery companies.
However, lawmakers and labor groups, including the Teamsters union, reasoned that drivers wear Amazon-branded uniforms, drive Amazon-branded vans, and follow Amazon-branded schedules.
As recent as last week, Amazon challenged the NLRB’s structure in a lawsuit that charged the agency with influencing the outcome of a union election at a company warehouse more than two years ago.
Previously, the NLRB called out Amazon chief Andy Jassy for voicing his opinions against unionization, leading to a less empowered workforce and a slower, more bureaucratic workplace.
In June 2024, California labor regulator penalized Amazon by $5.9 million for violating worker quota law at its two warehouses. France’s privacy regulator fined Amazon $35 million in 2024 for violating labor norms.
Reportedly, Amazon spent over $3 million in 2023 to avert unionization among its delivery network employees.
Price Action: AMZN stock is down 1.33% at $182.34 at last check Thursday.
Also Read:
- Apple Makes History With First US Union Labor Agreement
Photo: courtesy of Amazon
