Amazon's CEO under fire for anti-union comments amid revenue growth
The court found that Amazon's CEO, Andy Jassy, violated labour laws by suggesting that employees would have "less empowered" if they voted for a union - reports cnbc.com.
2 May 2024 13:43
The judge cited interviews Jassy gave CNBC, Bloomberg, and The New York Times in 2022.
The court determined that CEO Andy Jassy breached federal labour laws in comments to the media about the development of unions at the company.
Jassy told CNBC in April 2022 that if employees voted for a union, they could have fewer rights in the workplace, and things would proceed "much slower" and "more bureaucratic."
According to CNBC, Amazon disagrees with this conclusion and plans to appeal.
Amazon's results
Amazon's revenue increased by 13 per cent yearly to around £114 billion. The market had estimated revenues in the first quarter at about £113 billion.
In the second quarter, Amazon expects revenues to range from approximately £114 billion to £118 billion, representing an increase of 7 to 11 per cent. Analysts had anticipated a 12 per cent increase to around £119 billion.
Significant cost cuts, changes in order fulfilment operations, and the stabilization of cloud expenses partially drove Amazon's profit growth. CEO Andy Jassy has become more disciplined in his spending while expanding profitable services such as advertising, cloud computing, Prime membership, and the third-party marketplace.
Since 2022, the company has laid off over 27,000 employees, with cuts extending into 2024. Amazon laid off hundreds of employees in its health and AWS departments in the first quarter.
