Amazon's Warehouse Productivity Measure Sparks New California Law

Amazon's Warehouse Productivity Measure Sparks New California Law
  • Inc AMZN and other companies are mandated to disclose any quotas or workplace productivity measures for the workers in the state under a new California law, The Wall Street Journal reports.
  • Other states could also follow suit.
  • The law follows Amazon warehouse and other employees' complaints about working conditions and injury rates.
  • Amazon's algorithm-based quotas to measure employee productivity accomplished its faster shipping goals at the cost of unfair firings, high stress situations and higher injury rates than the national average.
  • The new law will prohibit companies from enforcing quotas and penalties that hamper employees' health and safety.
  • The law targets Amazon's warehouse quotas devised to drive shipping times.
  • Amazon could have to reduce quotas and hire more workers if the productivity requirements appear too strenuous.
  • Amazon defended its quota system and acknowledged accounting for health and safety. It had invested $300 million in worker safety and recently relaxed some policies that measure worker productivity.
  • AMZN Price Action: AMZN shares were up 0.95% at $3,412.29 Thursday.

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