Amazon Unethical Practices

AMAZON
Submitted by
Ashna – P21168
Shyam - P21199
Jesvin - P21179
Aislin – R21101
Nirmal – P21190
 Amazon is an online retailer, e-book reader manufacturer, and
Web services provider that is synonymous with electronic
commerce.
 It is a massive Internet-based store
 Amazon was founded in 1994 by Jeff Bezos, a former Wall
Street hedge fund executive.
 Amazon rose to the top of the e-commerce world
Code of Conducts
1. Compliance with 4. Health and Safety
Laws, Rules and
Regulations 5. Price Fixing
2. Insider Trading Policy 6. Bribery Payments to

Government Personal
3. Discrimination and
Harassment 7. Recordkeeping,
Reporting, and
Financial Integrity
Unethical
Practices
By AMAZON
1.Amazon
exploiting
Temporary
Workers
amazon exploiting Temporary Workers
• Amazon's relationship with its own employees is becoming increasingly strained.
• In their pursuit for efficiency, Amazon have neglected their worker’s requests.
• This issue has only worsened after the covid outbreak.
• After many workers at several sites failed to show up for their shifts, Amazon finally
agreed to many long-standing labour demands.
• Treat warehouse workers like robots, automating every element of their tasks.
• Amazon has painkiller vending machines in its warehouses
• COVID-19 has proven the dangers of working in an environment that constantly pushes
employees to their limits in the sake of efficiency.
• Workers can't take toilet breaks to keep up with that hourly rate
• They risk time off task points that could be used to justify job termination.
2. Amazon
Tax
Invasion
.Tax evasion Technique used by Amazon
https://youtu.be/Vk96h_wNyo0
Effect of the loophole
• There have been various protests in the United States
against Amazon's alleged usage of tax loopholes.
• Amazon has been accused by competitors of abusing
this regulation in order to save money on taxes
• simply addressing one loophole has resulted in
Amazon's sales in some states plummeting by as
much as 10%.
Amazon minus the Tax
Advantage
 The loss of Amazon's tax advantage will have an impact on the
company's incredible growth rate
 Many brick-and-mortar companies and governments will
benefit from Amazon's demise.
 There are likely many more loopholes that Amazon is planning
to exploit in order to keep its winning run going.
3.Warehouse
Abuses
Warehouse Abuses
 Wages in Amazon's fulfillment centers are on average lower than those paid in
other warehouses.
 Employees have been pressured :
• To reach extraordinarily high objectives,

• forced to tight breaks
• a frightening work atmosphere,
• watched electronically,
• frightened that failing to fulfill targets would result in them losing their employment instantly
 People talk of urinating in bottles because they are afraid of being reprimanded
or fired for ‘wasting time
 Employees at Amazon warehouses reported increasing sadness, anxiety, and
suicide thoughts, bullying and harassment.
 According to the records in a more than 72 calls were made to 911, many of
them for patients in their 20s and 30s.
 During Peak Season : Workers had complained on Breathing difficulties, chest
aches, heart problems
4. A toxic
environment
for white
collar
workers
A toxic Environment For white collar
workers
• Employees were frequently pressured that they will be replaced by younger employees
who could work longer hours
• Some employees were treated unfairly or were pushed out instead of being given time
to recover
• Employees who returned to work after major surgeries or miscarriages were given
performance development goals and were closely watched to ensure they remained
focused on their jobs.
5.Exploitati
on of Chinese
Workers
Exploitation of Chinese Workers
 Amazon and Foxconn pay their temporary workers a lower
minimum salary
 Amazon has 40% dispatch workers which is illegal
 Dispatch workers had no privileges- unpaid sick leave, no
overtime pay, no social insurance etc.
 Dispatch workers only get 8 hours of training despite the legal
requirement of 24 hours.
 Chinese school children under the age 18 produce alexa
devices.
 The youngsters labelled as “interns” are made to work
overtime.
Exploitation of Chinese Workers
 During high production period Students where

forced to work for more than two months
 Workers are not paid lawfully by an amazon
contractor.
 Amazon’s own auditors found out that it had hired
inappropriately large number of workers and not
compensating for overtime labour.

6.Amazon
Flex
Drivers
Amazon Flex Drivers
• The major issue that Flex Drivers are unable to earn a good amount of salary
• Amazon is well-known for using retaliatory techniques against employees who

attempt to organise or protest by dismissing them
• Monitoring social media conversations among Flex drivers would be consistent

with previous practise.
o Flex drivers are not full-time employees; instead, they are independent
contractors that make deliveries in their own vehicles
o Flex drivers do not receive the same benefits as full-time employees,
o Also not paid for health insurance and sick pay comparing to the regular
delivering carriers.
CONCLUSION
Amazon has been referred to as "one of the most influential economic and cultural
forces in the world", as well as the world's most valuable brand.
Multiple violations of their code of conduct have taken place.
It is clear that Amazon has violated its ethical code of conduct. Some of these
violation include :
• Discrimination and harassment,
• Health and safety,
• Complaints with Law rules and regulation,
• Reporting Violation,
• Conflict of Interest.
To conclude, they provide a variety of products and services efficiently, but at the cost of ethical
conduct and the welfare of their workers.
THANK YOU

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AMAZON

2. Insider Trading Policy 6. Bribery Payments to

 Employees have been pressured :

• To reach extraordinarily high objectives,

 During high production period Students where

• Amazon is well-known for using retaliatory techniques against employees who

• Monitoring social media conversations among Flex drivers would be consistent

Multiple violations of their code of conduct have taken place.

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