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Health

Jeff Bezos is obsessive about a standard Amazon warehouse harm

An employee searches for items in one of the corridors of an Amazon warehouse.

Carlos Jasso | Reuters

In his last letter to shareholders, Jeff Bezos, CEO of Amazon, called for a deep dive into musculoskeletal disorders, which account for approximately 40% of work-related injuries across the company and affect millions of workers worldwide in various sectors. It is often synonymous with jobs in manufacturing and places like warehouses.

Of course, from the recent union battle at an Alabama warehouse to the conditions for key employees during the pandemic, Amazon’s treatment of its employees has become a major issue. And it has been cited for a high incidence of work-related accidents in recent years, although the company has stated in the past that it also reports more work-related accidents than its peers due to a more proactive safety culture.

“If you read some of the news, you might think we don’t care about employees,” wrote Bezos in his letter released earlier this month. “In these reports, our employees are sometimes accused of being distressed souls and being treated as robots. This is incorrect. They are sophisticated and thoughtful people who have options for the workplace.”

But they also suffer from MSDs that occur on jobs that can be described as robot-like repetition. Bezos’ in-depth remarks on this workplace injury were one of the first announcements by a large company to bring wider attention to the problem, according to several experts consulted by CNBC. It is estimated that MSDs cost US companies over $ 50 billion each year, resulting in an average of 21 to 32 days of work interruption between 1997 and 2010. In addition to warehouse work at Amazon, MSD issues in meat processing and poultry factories have recently drawn attention.

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MSDs, often referred to as “ergonomic injuries,” are typically strains and sprains caused by repetitive movement, overexertion, or performing tasks in awkward positions, and include problems such as carpal tunnel syndrome and tendinitis. According to the Bureau of Labor Statistics, retail, manufacturing, and welfare jobs accounted for 50% of all MSD cases in the private sector. While they are common in factory workplaces and with first-time workers, they can also occur through exercise, desk work, and everyday use.

“MSDs are common in the type of work we do and are more likely to occur in the first six months of an employee,” wrote Bezos, adding that the company had started a program to target small groups of employees on body mechanics and safety coaching, which helped a 32% decrease in injuries between 2019 and 2020, while time as a result of injuries “decreased by more than half,” Bezos said in the latest letter. “We need to invent solutions to reduce MSDs for new hires, many of whom may be working in a physical role for the first time.”

Amazon declined to provide additional information to CNBC about its ongoing MSD efforts.

While MSD cases in the US workplace have declined over the past decade, approximately 1.71 billion people worldwide have musculoskeletal disorders, with lower back pain being the most common, the World Health Organization reported. This number is expected to increase as the population ages and grows.

“Many of these injuries are actually preventable, they’re not accidents, we can work to prevent them and make a big difference for patients,” said Anna Miller, vice chairwoman of the orthopedic surgery department and director of the orthopedic trauma department Washington University School of Medicine.

The dangers of repetitive work

While it is common for manufacturing workers to work on the repetitive assembly line, they can also occur while sitting in a home office doing remote work.

One of the biggest problems with MSDs is that there is no specific reason why they are occurring, and they can arise on the fly from a seemingly minor task like climbing stairs, says John Dony, senior director of the National Safety Council. There is little research into how they occur, why they occur, and who is most susceptible. While older workers often suffer from wear and tear, younger workers often try to overcome the risks or fail to understand the risks, Dony said.

Some studies suggest obesity, genetics, or smoking may increase the risk of MSD, but the causal link data isn’t very clear, says Andrew N. Pollak, senior vice president of clinical transformation and chief of orthopedics at the university’s medical system of Maryland.

Very limited federal funding is allocated to this research, but large companies like Amazon, which now employs over a million people, are better able to gather information to share with other companies.

“This type of research has been difficult to do in smaller companies because you just don’t have the same number of people doing the same jobs as you would with a giant like Amazon,” says Pollak.

MSDs can also lead to mental health problems for many frontline workers, and many people keep working after exposure because they need the money, Miller says.

In many service-oriented professions, workers are under pressure to keep working to make the customer happy and deal with injuries to meet the goals, says Jaimo Ahn, professor and chair of education in the Department of Orthopedic Surgery at the Health System University of Michigan.

“If you are not getting there, or if you feel that you are not where you need to be, then move on,” said Ahn.

Solving the MSD Problem

In addition to the WorkingWell coaching program, which was introduced as part of Amazon’s workplace safety efforts last year for 859,000 employees in 250 locations, Amazon is also developing automated workforce plans that use “sophisticated algorithms for rotating employees” across jobs to prevent overuse of certain muscle groups and injuries, and that started rolling out this year.

Rotation schedules are one of the easiest precautionary solutions to preventing continued use of a particular muscle, as well as teaching workers how to lift from their legs instead of their arms or back. It also helps construct a job that involves excessive bending, requires non-slip shoes, or requires workers to lift heavy objects with a partner. Some companies have already put these guidelines in place, but they are sometimes ignored or not well communicated, Dony said.

Other alternatives include automating and implementing robots or machines that can minimize hand use and help with lifting, or handheld devices that show the environment and detail the span and range of motion. Robots have historically been a point of contention for workplace injuries, in some cases because of increasing risks to human workers, including requiring workers to move too fast to keep up ergonomically. However, the company’s executives have rejected this argument.

Solving MSDs outside of Amazon, across the world of work, and for many smaller, less deep-pocketed employers, begins with assessing the risk and walking through the workspaces.

“If you don’t even assess the risk or hazard you’re exposing someone to, you’re already behind the game,” says Dony.

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Business

Amazon is accused of corrupting the union voting course of at an Alabama warehouse.

The union, sensibly defeated in its efforts to organize an Amazon warehouse in Alabama, is attempting to dismiss the election results and accusing the company of corrupting the voting process by intimidating and monitoring workers.

On Monday, the retail, wholesale and department store union appealed to the National Labor Relations Board, which oversaw the voting process via email last month.

The union lost its offer to organize the camp at a ratio of more than 2 to 1. Many workers said the union had not convinced them of the benefits of the organization and that they were largely satisfied with Amazon’s wages, benefits and working conditions.

In a statement on Monday, Amazon said: “Instead of accepting the choice of these employees, the union seems determined to continue to misrepresent the facts in order to advance its own agenda. We look forward to the next steps in the legal process. “

At the center of the union’s complaint is a mailbox that Amazon installed in the warehouse parking lot, where workers can cast their ballot papers. The union said Amazon brought the collection box without permission from the labor authority. The company also used video cameras to monitor workers who cast their ballots there and encouraged them to toss the ballots in the box instead of mailing them from home, the union said.

The union said these actions by Amazon “created the impression that the collection box was a polling station and that the employer had control over the conduct of postal votes”.

The union also accused Amazon of other tactics that may have intimidated the workers, such as hiring local police to patrol the parking lot while the organizers were outside and possibly pulling union-friendly workers out of the “captured audience” meetings that did the Company had held to raise the issue of organizing the ride among employees.

The company “would require the employee to come forward, identify them and then remove them from the meeting in the presence of hundreds of other employees, thereby compromising and / or chilling the employees’ right to freely discuss issues related to the union organizing campaign will, ” said the union in its filing with the labor authority.

The union has asked the Labor Authority to hold a hearing on their petition in order to overturn the results. If the union succeeds in its legal challenges, the labor authority could order another election to be held.

Categories
Business

European warehouse demand surges as e-commerce giants snap up areas

Staff walk the aisles collecting items before sending them to the on-site shipping hall to be packed in one of the UK’s largest Amazon warehouses in Dunfermline, Fife.

Jane Barlow | PA pictures | Getty Images

BEIJING – Big investors are investing money in warehouses in Europe, while online purchases of goods – some from China – are increasing after the coronavirus pandemic.

E-commerce was already growing before Covid-19 forced people to stay home and close store fronts. Now the pandemic has likely sped up e-commerce adoption by about 12 months, real estate consultancy Savills said in a December report quoting the Center for Retail Research.

One of the biggest challenges for companies looking to capitalize on the trend is finding ways to get orders done faster. Companies that previously relied on globally distributed supply chains are faced with a shortage of shipping containers, resulting in high delivery costs and long waiting times.

The new strategy is to find warehouses near customers and store them ahead of time so customers can receive their orders in a few days or less.

This has spiked warehouse demand and pushed the vacancy rate in Europe to a record low of around 5% – and the rate is still falling, said Marcus de Minckwitz, director of the London Omnichannel Group at Savills.

“In the course of 2020, under the leadership of the UK, we saw record utilization of warehouse space across the continent,” he said. “This was driven by Amazon and then third-party logistics service providers.”

There is an Amazon warehouse in the Port of Belfast as the Coronavirus disease (COVID-19) spread continues in Belfast, Northern Ireland on April 6, 2020.

Jason Cairnduff | Reuters

Total investment in European logistics rose last year to 38.64 billion euros (46.5 billion US dollars). According to Savills, this is the highest value since 2013.

Now Europe expects more demand from Chinese e-commerce players entering the market under the leadership of Alibaba, de Minckwitz said.

Alibaba has grown its cross-border e-commerce business primarily through its AliExpress platform and Cainiao’s logistics arm.

The company spearheaded rapid growth in cross-border e-commerce, which helped Cainiao sales jump 51% year over year in the final three months of 2020 to $ 1.74 billion at the time, according to Alibaba.

Some of the largest companies in the investment world are taking note of the trend.

E-commerce increases China’s exports

The Chinese authorities are also talking about the trade impact.

Cross-border electronic trade between China and other countries rose 31.1% last year to 1.69 trillion yuan, mainly in exports, according to the national customs authority. As a result, overseas warehouses rose 80% year over year to over 1,800 in 2020, the Commerce Department said in January.

Diane Wang, founder and chairman of Chinese e-commerce website DH Gate, said last month the company has 10 warehouses overseas and plans to add 40 more this year.

About half of the products are upstream abroad, so customers can receive their orders within three days, she said. Wang predicts that cross-border e-commerce will increase from around 5% of China’s international trade to 30% over the next decade.

Official data by country or region was not available, but anecdotes show that much of the foreign interest in e-commerce with China comes from Europe. The region is already one of China’s most important trading partners.

“A lot of people buy Chinese products in Europe,” said Suresh Dalai, senior director of Alvarez & Marsal consultancy, which focuses on retail operations in Asia. He expects more investment in technology for order tracking, same-day delivery and storage of packages in central lockers so consumers can pick up packages when they want.

“There is a lot of demand. I don’t think (new Chinese players) are really influencing Alibaba that much,” said Dalai. “I think it helps because it only spurs additional investment in warehouses and technology and more and more consumers are getting used to shopping across borders and shopping on China-made websites.”