Protesting workers at Amazon's Haryana warehouse force firm to pay severance

Among big tech that resorted to layoffs for saving costs after hiring too many people during the remote services and e-commerce boom of the pandemic, Amazon has drastically trimmed its workforce. Its job cuts in two rounds, affected around 27,000 employees, and thousands of them were in India, who were left in tears after losing jobs.

Sources said workers at an Amazon warehouse in Haryana, employed through an agency, had to protest for finally winning severance pay from the tech giant. Amazon in an email to the Free Press Journal however said, "associates working for our staffing agency at our fulfilment centre were offered the opportunity to transfer to a new site or be given a severance pay, as per our standard process when there are changes to our operations."

The full email statement to Free Press Journal is as follows, “We’re always evaluating our network to make sure it fits our business needs and to improve the experience for our employees, customers, partners, and drivers. As part of that effort, we may close older sites, enhance existing facilities, or open new sites, and we weigh a variety of factors when deciding where to develop future sites or maintain a presence. In this case, we have transitioned operations from the fulfilment centre in Sonipat, Haryana and the associates at this site have been offered the opportunity to transfer to another site or receive a severance pay.”

Standing their ground

Workers sat on an uninterrupted protest at the gate of DEL-3, and their movement created waves among professional as well as political circles.

Apart from Haryana, labour unions have filed complaints with concerned departments in different states of India, after Amazon workers were left without a job.

On the other hand Amazon claims that associates working at the warehouse were offered the opportunity to transfer to a new site or be given a severance pay, as per standard process when there are changes to operations.

Sources said warehouse workers were also deprived of a voluntary separation option offered to the technology and Amazonian Experience teams. The Amazon email to FPJ further added, "The associates are not employees of Amazon, and no one was asked to leave. They were offered a severance pay or an opportunity to be transferred to a different site, as per our standard process when there are changes to our operations."

Other unions also taking the fight to Amazon

Amazon India's public policy manager had also been summoned by government, after a union for IT professionals filed a complaint against the firm.

Amazon has so far invested $6.5 billion in India, and hasn't been able to achieve profitability even after eight years.

This is the position despite a visible presence of Amazon in the country's e-commerce landscape and sales that it clocks during festive seasons.