Amazon most scrutinised tech-enabled company amid pandemic
18 May, 2020
As Amazon becomes an extremely important lifeline in the pandemic crisis, it really is being hit with a wave of criticism from activists, politicians and other people who question the tech giant’s growing influence.
Amazon is among the most most scrutinized company during the health emergency.
It has boosted its global workforce to almost one million and dealt with protests over warehouse safety and reported deaths of several employees.
But Amazon has also pledged to spend at least $4 billion in the current quarter-its entire expected operating profit-on coronavirus mitigation efforts, including relief contributions and funding research.
Amazon’s AWS cloud computing unit, which powers big portions of the web, is also a key element through the crisis with more people and companies working online.
Amazon’s market value has hovered near record levels around $1.2 trillion dollars since it reported rising revenues and lower profits previously quarter.
“Its sheer size justifies the scrutiny,” said Dania Rajendra of the activist group Athena, a coalition which is targeted especially on Amazon’s corporate activity and treatment of workers.
Athena activists fret that Amazon, which also controls one of the major streaming tv set services, infiltrates so many areas of people’s lives.
Rankling many activists, the rise in Amazon’s shares has boosted the wealth of founder and leader Jeff Bezos to over $140 billion even as the global economy has been battered by the virus outbreak.
Amazon has faced employee walkouts at several facilities over safety and hazard pay and has been accused of firing persons for speaking out against the business.
“It’s a minority going on strike however the sentiment represents thousand if not thousands,” said Steve Smith of the California Labor Federation.
While Amazon has boosted base pay to $15 one hour, above the minimum wage required, and added bonuses through the pandemic, activists say it’s insufficient, especially in high-cost states like California.
“This company are able to make these jobs middle income jobs, good jobs,” Smith said.
Tensions in Washington
The tensions have spilled over into the US capital Washington and elsewhere. US lawmakers leading antitrust investigations asked Bezos to react to reports that the company improperly used data from third-party sellers to launch its products, that your company has denied.
NY state Attorney General Letitia James called Amazon “disgraceful” for firing a warehouse employee who led an employee protest over safety. Amazon said the employee refused to quarantine after testing positive for COVID-19.
In a statement to AFP, Amazon defended its actions on workplace safety, social distancing and noted that it's implementing its employee testing program.
The business also disputed claims it had been stifling employee speech.
Spokeswoman Lisa Levandowski said the employees involved were dismissed “not for talking publicly about working conditions or safety, but instead, for repeatedly violating internal policies.”
Levandowski added that Amazon already provides what many unions have already been seeking, including a higher base wage, health advantages and career opportunities.
“She said the business seeks “an excellent employment experience” along with offering “a world-class customer experience (while) respecting rights to choose a union.”
Alternatives?
Analyst Patrick Moorhead of Moor Insights & Strategy said Amazon gets heightened scrutiny as a result of its growing global influence and because of the vast wealth of Bezos.
Moorhead said Amazon also induced a few of its woes using its highly public visit a second headquarters which highlighted tax breaks for the tech giant.
But Moorhead said Amazon is “not profiting” from the coronavirus crisis, and really should be credited for a few 150 measures taken including the pooling of high-performance computing for researchers.
“If you think about the choice of shutting down Amazon, so many persons wouldn’t get the supplies that they want. You’d have a tremendous number of folks unemployed,” he said.
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