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Amazon settles Teamsters case alleging it retaliated against striking workers

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Why This Matters

Amazon has settled a case with federal labor officials, agreeing not to retaliate against striking workers by restoring unpaid time off and allowing future strikes without penalty. This settlement highlights ongoing tensions between large tech companies and labor rights, emphasizing the importance of fair treatment and legal compliance for employee activism. It also signals potential shifts in corporate policies regarding worker protests and unionization efforts in the tech industry.

Key Takeaways

Amazon delivery drivers walk the picket line outside Amazon delivery station as they went on strike in Skokie, Illinois on December 19 2024.

Amazon has vowed not to retaliate against workers who go on strike as part of a settlement with federal labor officials.

The company will restore unpaid time off that it "illegally" docked from employees who walked off the job and "ensure all Amazon workers can strike in the future without losing their UPT," the International Brotherhood of Teamsters said Tuesday in a release.

More than 100 employees will have unpaid time off restored, according to the National Labor Relations Board settlement.

Amazon spokesperson Eileen Hards told CNBC in a statement that it didn't admit wrongdoing as part of the settlement.

"While we believe our team managed these situations appropriately, we've agreed to resolve the matter so we can move forward and continue working directly with our employees to make Amazon a great place to work," Hards said in a statement.

Amazon gives frontline workers a limited number of hours of unpaid leave, which it said can be used for "last minute issues or emergencies," according to an internal employee handbook cited in the NLRB's complaint. Employees risk being fired if they use more UPT hours than they're allotted.

The NLRB cited several cases since 2022 where Amazon deducted employees' UPT after they walked out. In at least one case, striking workers feared they would lose their job after their UPT "went negative" once it was deducted by Amazon, according to the complaint.

"Those deductions and points are unlawfully coercive in and of themselves, because they warn employees that their protected activity is inching them ever closer to termination," the NLRB wrote.