Workers stand in line to cast ballots for a union election at Amazon’s JFK8 distribution center, in the Staten Island borough of New York City, U.S. March 25, 2022.
Brendan Mcdermid | Reuters
For the past few months, an Amazon warehouse near Albany has hosted the latest labor battle between the retail giant and its workers.
Workers at the facility, located in the upstate town of Schodack, sought to capitalize on a successful union campaign at another Amazon warehouse, more than 150 miles away on Staten Island, which resulted in the company’s first unionized site in the U.S.
On Tuesday, those hopes were dashed.
Employees at the warehouse near Albany voted overwhelmingly against joining a union, delivering a blow to the Amazon Labor Union, the group behind the Staten Island victory. The ALU can challenge the results of the election, and it has a week to file an appeal to the National Labor Relations Board.
Workers at the ALB1 warehouse began organizing earlier this year, believing that a union could give employees more power to address their concerns about safety, inadequate paid time off and low wages. The starting wage at the facility rose to $17 an hour, up from $15.70 an hour, after Amazon raised pay for its frontline workforce nationwide.
Following the vote, an Amazon spokesperson said “Amazon as we think that this is the best arrangement for both our employees and customers. We will continue to work directly with our teammates in Albany, as we do everywhere, to keep making Amazon better every day.”
Here’s what workers on the ground told us.
‘$18 does not stretch very far’
Cari Carter, who has worked at ALB1 for two years, makes $18.20 an hour as a packer, placing items into boxes before they’re shipped out. As a single mother with three children, she said she can’t afford to manage her expenses and recently took out a loan from Amazon in order to pay her car bills.
“Some people are happy making $18 an hour because that’s enough to support themselves. They’re usually single individuals,” Carter said in an interview outside the warehouse. “I myself am a single mother of three. $18 does not stretch very far.”
Her son, Najiel Carter, works the same morning shift as her at ALB1. He said he attended meetings held by Amazon and the union and was leaning toward voting for the union because he felt it could lead to longer break times and a less stressful atmosphere at work.
Carter said she threw her support behind the union after she grew frustrated about pay and Amazon’s policies around unpaid time off. She said Amazon enforced the policy too harshly, pointing to a co-worker who was recently fired after he ran out of unpaid time off, and was absent from work for six hours while he dealt with a car emergency.
Amazon refused to let the employee use their vacation time to cover the absence, she said, adding that employees even offered to “donate their unpaid time” to help him keep his job.
“It just so happened that he had an unforeseen incident happen, he’s negative six hours, and he’s gone,” she said.
Michael Verrastro said he also feels a union is necessary to keep Amazon from unfairly disciplining its workers. In late August, Amazon fired Verrastro from ALB1 after he kicked an empty box out of frustration when tools at his workstation repeatedly malfunctioned.
Amazon said Verrastro, who joined the company in 2020, violated its workplace violence policy and claimed a box hit his co-worker after he kicked it. Verrastro said he acted out because he was concerned he wouldn’t reach his productivity goals for the day.
Verrastro said the loss of his job has created significant hardship for him, as he was diagnosed in 2020 with aggressive prostate cancer and is still undergoing treatment. Two weeks ago, he was denied unemployment benefits.
“Here I am, now 60 years old, aggressive prostate cancer, ran out of insurance, had to go short term on Medicaid, no right to an appeal to go back to work, and Amazon just refuses to acknowledge what they’re doing,” Verrastro said. “Unfortunately, I’m not the only person who something like this has happened to.”
After he was fired, Verrastro said he got a call from lead organizer Heather Goodall and was connected to the ALU’s lawyers. They filed an unfair labor practice charge with the National Labor Relations Board over his firing. Verrastro has also filed a complaint with the New York State Division of Human Rights.
“I want people to know what this company does to its people, to its employees, to the people who make the company possible,” Verrastro said.
‘A union isn’t good for Amazon’
Other employees said they voted against the union, saying they felt it was unnecessary because the pay and benefits offered by Amazon are generous.
“If anything, I’m concerned a union will take money out of my paycheck,” said Dionte Whitehead, who works as a stower at ALB1. “A union isn’t good for Amazon.”
Workers also expressed skepticism about the ALU. The organization was started by Chris Smalls last year after he was fired from his management assistant job for leading a protest at Amazon’s sprawling JFK8 warehouse on Staten Island. The victory at JFK8 turned into a lightning rod for labor organizers seeking to unionize Amazon and other companies across the country.
But the group has struggled to build momentum after a failed union drive at another Staten Island facility, and it has suffered from infighting among members. The election win has also been clouded by a months-long court battle with Amazon, which is seeking to have the results thrown out.
Amazon sought to discredit the ALU in posters and other communications broadcast at ALB1. One message displayed on a screen inside the warehouse called the union “untested and unproven,” while flyers left on a break room table said “The ALU isn’t telling the truth.”
ALB1 worker Tyrese Caldwell said he voted no because he felt the ALU is too inexperienced.
“They’re a fresh union, and they’re trying to tackle something as big as Amazon,” Caldwell said.
Michael Oakes, another ALB1 employee, agreed. “If it were an established union, not the ALU, I might be behind it,” he said.
Plan B: A more experienced union?
Carson, the packer, said ahead of the vote on Tuesday that ALB1 organizers had discussed other strategies if they lost the election, including asking workers if they’d prefer to be represented by a well-established union.
“There are a lot of people who were opposed because it was a startup union,” she added.
Major national unions have tried to unionize Amazon workers for years to no avail. The Retail, Wholesale and Department Store Union is seeking to represent workers at a Bessemer, Alabama, warehouse, but a vote there last spring did not have a clear outcome and is currently in court as both sides challenge some votes. Meanwhile, the International Brotherhood of Teamsters last year announced a renewed push to scale up efforts to organize Amazon workers.
Even if some workers question the fledgling Amazon Labor Union’s ability to organize ALB1, Smalls signaled he remains committed to the effort.
“This won’t be the end of ALU at ALB1,” Smalls said in an emailed statement on Tuesday.
A sign is posted in front of the eBay headquarters in San Jose, California.
Justin Sullivan | Getty Images
Shares of eBay soared 8% Wednesday as Meta said it will allow some listings to show up on Facebook Marketplace, its popular platform connecting consumers for local item pickups and more.
EBay stock reached its highest level since November 2021.
The rollout will begin with a test in Germany, France and the United States, where buyers will be able to view listings directly on Marketplace and complete the rest of their transactions on eBay, Meta said in a release.
The partnership could provide a boost to eBay’s marketplace business, which has struggled to compete with e-commerce rivals like Amazon, Walmart, Temu and even Facebook’s own marketplace platform that lets users buy and sell items.
EBay has recently embraced niche categories like collectibles and luxury goods to try and keep buyers and sellers returning to its site. CEO Jamie Iannone told CNBC in an October interview that shoppers were coming to the site, known for its used and refurbished goods, as they sought out discounts amid a rocky macroeconomic environment.
Meta’s move is an attempt to appease the European Commission, the executive body of the European Union, after the regulator fined the company 797 million euros ($821 million) in November for tying its Marketplace product to the main Facebook app.
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At the time, the Commission said that Meta’s bundling of Marketplace with Facebook could mean competitors are effectively “foreclosed” given the distribution reach of the platform. Facebook counts more than 3 billion users globally.
The Commission also said that Meta imposes “unfair trading conditions” on other online classified ads service providers who advertise on its platforms, especially Facebook and Instagram. It added that these conditions allow Meta to use data generated from other advertisers to benefit Marketplace.
Meta appealed the ruling at the time, saying that it “ignores the realities of the thriving European market for online classified listing services.”
“While we disagree with and continue to appeal the European Commission’s decision on Facebook Marketplace, we are working quickly and constructively to build a solution which addresses the points raised,” the company said Wednesday.
EBay touted its integration with Facebook Marketplace as a way for the e-commerce site to “increase exposure to our sellers’ listings, on and off eBay, as part of our strategy to engage buyers and deepen customer loyalty.”
Facebook in 2023 announced a similar partnership with Amazon that lets users browse and purchase products without leaving the app.
An Amazon employee works to fulfill same-day orders during Cyber Monday, one of the company’s busiest days, at an Amazon fulfillment center in Orlando, Florida, on Dec. 2, 2024.
Miguel J. Rodriguez Carrillo | Getty Images
Amazon warehouse workers at a site in North Carolina will vote next month on whether to join a union, setting the stage for the company’s latest labor battle.
Workers at the Garner, North Carolina, facility will cast their ballots from Feb. 10 to Feb. 15, according to a Tuesday post on X by Carolina Amazonians United for Solidarity & Empowerment, the group seeking to organize staffers. Representatives from Amazon and the National Labor Relations Board didn’t immediately respond to requests for comment.
Known as CAUSE, the grassroots group led by current and former employees has been working to organize Amazon employees at the warehouse, which is located in a suburb about 10 miles south of Raleigh, for the past three years.
If the election is successful, the warehouse, known as RDU1, would be only the second Amazon site in the U.S. to unionize. Workers at Amazon’s largest warehouse in New York City voted to join the Amazon Labor Union in 2022, but the group struggled to negotiate a contract with Amazon, and last June, the ALU voted to affiliate with the Teamsters.
A handful of union elections were held at Amazon warehouses in the U.S. in recent years but employees have either rejected unionization or the results continue to be disputed in lengthy court battles. Last November, a federal labor judge ordered a third rerun election at an Amazon warehouse in Bessemer, Alabama, after ruling the company improperly interfered in the vote.
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CAUSE filed for a union election last month, saying in a press release that 30% of workers at the North Carolina site signed union authorization cards, which is the necessary threshold to trigger an NLRB vote. Organizers are seeking to boost wages and improve working conditions.
The union filing comes after Amazon delivery and warehouse workers went on strike at nine facilities last month to push the company to come to the bargaining table, according to the International Brotherhood of Teamsters, which represents the employees. The action was intended to snarl Amazon’s operations during the busiest holiday shopping period of the year, referred to as peak season. An Amazon representative told Reuters the company expected to see a limited impact on deliveries from the strike.
An artificial intelligence feature on iPhones is generating fake news alerts, stoking concerns about the technology’s ability to spread misinformation.
Last week, a feature recently launched by Apple that summarizes users’ notifications using AI, pushed out inaccurately summarized BBC News app notifications on the broadcaster’s story about the PDC World Darts Championship semi-final, falsely claiming British darts player Luke Littler had won the championship.
The incident happened a day before the actual tournament’s final, which Littler did go on to win.
Then, just hours after that incident occurred, a separate notification generated by Apple Intelligence, the tech giant’s AI system, falsely claimed that Tennis legend Rafael Nadal had come out as gay.
The BBC has been trying for about a month to get Apple to fix the problem. The British state broadcaster complained to Apple in December after its AI feature generated a false headline suggesting that Luigi Mangione, the man arrested following the murder of health insurance firm UnitedHealthcare CEO Brian Thompson in New York, had shot himself — which never happened.
Apple was not immediately available for comment when contacted by CNBC. On Monday, Apple told the BBC that it’s working on an update to resolve the problem by adding a clarification that shows when Apple Intelligence is responsible for the text displayed in the notifications. Currently, generated news notifications show up as coming directly from the source.
“Apple Intelligence features are in beta and we are continuously making improvements with the help of user feedback,” the company said in a statement shared with the BBC. Apple added that it’s encouraging users to report a concern if they view an “unexpected notification summary.”
The mistake was flagged on the social media app Bluesky by Ken Schwencke, a senior editor at investigative journalism site ProPublica.
CNBC has reached out to the BBC and New York Times for comment on Apple’s proposed solution to its AI feature’s misinformation issue.
AI’s misinformation problem
Apple touts its AI-generated notification summaries as an effective way to group and rewrite previews of news app notifications into a single alert on a users’ lock screen.
It’s a feature Apple says is designed to help users scan their notifications for key details and cut down on the overwhelming barrage of updates many smartphone users are familiar with.
However, this has resulted in what AI experts refer to as “hallucinations” — responses generated by AI that contain false or misleading information.
“I suspect that Apple will not be alone in having challenges with AI-generated content. We’ve already seen numerous examples of AI services confidently telling mistruths, so-called ‘hallucinations’,” Ben Wood, chief analyst at tech-focused market research firm CCS Insights, told CNBC.
In Apple’s case, because the AI is trying to consolidate notifications and condense them to show only a basic summary of information, it’s mashed the words together in a way that’s inaccurately characterized the events — but confidently presenting them as facts.
“Apple had the added complexity of trying to compress content into very short summaries, which ended up delivering erroneous messages,” Wood added. “Apple will undoubtedly seek to address this as soon as possible, and I’m sure rivals will be watching closely to see how it responds.”
Generative AI works by trying to figure out the best possible answer to a question or prompt inserted by a user, relying on vast quantities of data which its underlying large language models are trained on.
Sometimes the AI might not know the answer. But because it’s been programmed to always present a response to user prompts, this can result in cases where the AI effectively lies.
It’s not clear exactly when Apple’s resolution to the bug in its notification summarization feature will be fixed. The iPhone maker said to expect one to arrive in “the coming weeks.”