Wednesday, October 12, 2022

Amazon workers in Albany prepare for pivotal union vote


·Senior Reporter

Amazon (AMZN) workers at an Albany warehouse are set to start voting tomorrow in a pivotal union election that sets up another clash between the company and the independent Amazon Labor Union (ALU).

"[This vote is] vitally important for the ALU," John Logan, director of labor studies at San Francisco State University, told Yahoo Finance. "They need to show they can replicate the remarkable success they had at JFK8. ... Albany will be a test... but if they win, it will give a huge boost to organizing nationwide at Amazon and beyond."

The stakes are high for Amazon as the ALU's first victory at a Staten Island warehouse in April has proven to be a thorn in the e-commerce giant's side. The company failed to overturn the vote and increasingly has faced pressures coming out of Washington, including a labor investigation by OSHA, scrutiny by the FTC, and a boosted tax bill put in place by President Biden's Inflation Reduction Act.

The union election is also taking place as macroeconomic challenges ripple through the economy. Inflation is squeezing consumers, workers, and companies, and the Federal Reserve shows no sign of backing down from aggressively hiking interest rates. Meanwhile, a choppy stock market has rattled Big Tech stocks including Amazon, which is down more than 32% year-to-date.

Amazon has sought to rehab its image as an employer recently by announcing plans to spend $1 billion to raise pay for its warehouse and delivery workers.

However, the labor fight at Amazon is likely to be protracted. Even if the ALU comes up short in Albany, the independent union isn't likely to throw in the towel anytime soon, according to Rutgers University labor expert Rebecca Givan.

"In all union elections, the odds are against the workers trying to unionize," Givan said. "So this is an important vote, but even if the workers don’t successfully unionize, we can still expect more organizing from the Amazon Labor Union."

An Amazon Labour Union (ALU) organizer greets workers outside Amazon’s LDJ5 sortation center, as employees begin voting to unionize a second warehouse in the Staten Island borough of New York City, U.S. April 25, 2022.  REUTERS/Brendan McDermid.
An Amazon Labour Union (ALU) organizer greets workers outside Amazon’s LDJ5 sortation center, as employees begin voting to unionize a second warehouse in the Staten Island borough of New York City, U.S. April 25, 2022. REUTERS/Brendan McDermid.

Why the ALU just might win in Albany

Despite the odds, experts believe there's still a path to victory in place for the independent union.

"Organizing at Albany has also been organic," Patricia Campos-Medina, activist and executive director at the Worker Institute at Cornell University, told Yahoo Finance. "Workers inspired by what ALU did in NYC at the first facility took it upon themselves to demand a union vote. They are energized, but we will have to see if the millions of dollars spent in anti-union intimidating tactics worked in favor of Amazon."

Logan agreed, though he cautioned that any victory would be hard-won.

“What I’ve been told is that the ALU believes that they will win in Albany,” he said. “But every time it’s David versus Goliath. If they were to win, that would be amazing.”

Timing is another factor that could affect the outcome of the vote. Amazon is currently in the midst of its second Prime Day event of the year, called Prime Early Access.

FILE - In this Dec. 20, 2017, file photo, a clerk reaches to a shelf to pick an item for a customer order at the Amazon Prime warehouse in New York. Amazon's Prime Day starts July 16, 2018, and will be six hours longer than last year's and will launch new products. Amazon hopes to keep Prime attractive for current and would-be subscribers after raising the annual membership fee by 20 percent to $119 and to $12.99 for the month-to-month option.. (AP Photo/Mark Lennihan, File)
In this Dec. 20, 2017, file photo, a clerk reaches to a shelf to pick an item for a customer order at the Amazon Prime warehouse in New York. (AP Photo/Mark Lennihan, File)

According to Daniel Olayiwola, who works as a picker in an Amazon warehouse in Texas, these deal events are famously difficult for workers.

“There are so many incidents where stuff is overhanging from bins,” Olayiwola said. “You can just be driving by and crash into it, and then your cage explodes. So with the next person coming up behind you, you can either wait, try to fix it, call for help, or just hope that that next person doesn’t get hurt. So that’s what people are dealing with, and there are already accidents already. [On Prime Days] those injuries go up a lot.”

Amazon warehouses, even outside of the busiest times of the year, have been shown to have high rates of injury. Serious injuries at Amazon warehouses are 40% more likely than at non-Amazon warehouses, according to a study by the National Employment Law Project.

Recently, the tech giant faced outrage and a subsequent OSHA investigation following the death of a worker in New Jersey during July's Prime Day, the company's most successful ever.

“The amount of people crashing into each other is a continuous thing, and when people are rushing, it’s even worse," Olayiwola said.

NEW YORK, NEW YORK - SEPTEMBER 05: Christian Smalls, President of the ALU, leads Pro-union protestors on a march on 11th Street on September 05, 2022 in New York City. Members of the Amazon Labor Union (ALU) led by Christian Smalls, President of the ALU, and Amazon workers were joined by Starbucks workers, community organizations and pro-union protestors for a Labor Day March for Recognition demanding their unions be recognized by Amazon and Starbucks. The protestors gathered at the NYC homes of Starbucks’ interim CEO Howard Schultz and Amazon CEO Jeff Bezos before holding a rally in Times Square. (Photo by Michael M. Santiago/Getty Images)
Christian Smalls, President of the ALU, leads Pro-union protestors on a march on 11th Street on September 05, 2022 in New York City. (Photo by Michael M. Santiago/Getty Images)

A long road ahead

The ALU is hitting the road, hoping to recapture the magic it had in Staten Island.

"This is the first vote for ALU outside of NYC, and support for the union could signal a new winning formula to organizing Amazon that goes beyond the personality power of Chris Smalls," Campos-Medina said. "Remember, Chris has always said that he wants workers to be the ones organizing themselves, that ALU would support them, but that he is focused on getting a contract for its first facility."

Still, should the ALU emerge with a victory in hand, a contract likely remains far off.

"Amazon will do everything it can to slow down the negotiation process," Givan said. "Their goal will be delaying and trying to win a war of attrition. Most employers try to avoid reaching a first contract at all."

FILE - An Amazon worker delivers boxes in Los Angeles on Oct. 1, 2020. California is suing Amazon, accusing the company of violating the state’s antitrust and unfair competition laws by stifling competition and engaging in practices that push sellers to maintain higher prices on products on other sites. In an 84-page lawsuit filed Wednesday, Sept. 14, 2022 in San Francisco Superior Court, the California Attorney General's office said Amazon had effectively barred sellers from offering lower prices for products elsewhere through contract provisions that harm the ability of other retailers to compete. (AP Photo/Damian Dovarganes, File)
An Amazon worker delivers boxes in Los Angeles on Oct. 1, 2020. (AP Photo/Damian Dovarganes, File)

Amazon has continued to face criticism for how it has been managing the union push at its fulfillment centers. Campos-Medina, for one, didn't mince words, calling Amazon's strategy one of "union-busting."

"Rather than using all those resources to negotiate a contract and settled their labor relations problems, they are using [them] to create fear and division with the rest of the workforce in the hope of curtailing more union elections in other facilities," she said. "In the long run, that strategy will make anti-union lawyers rich, but it will only continue to create disruptions for Amazon on the supply chain and will damage its brand with American consumers."

In Logan's view, though elections have winners and losers, if the ALU can keep inspiring workers, it will keep it — and this wave of unionization efforts – alive and well.

"The real significance of these elections is their ability to inspire and energize and give optimism to young workers," he said. "That was what meant this had the potential to spread rapidly."

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