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For years, Amazon warehouse staffers have complained about unsafe working conditions and the injury risks they face when rushing to fill packages and get them to customers in two days or less.

While Amazon claims its injury rate is coming down, facility-level data released last month from the U.S. Labor Department’s Occupational Safety and Health Administration underscores worker concerns, showing that in 2022 Amazon laborers were injured at a rate of 6.9 for every 100. In January, OSHA investigators cited Amazon for “failing to keep workers safe.”

Industrywide numbers for last year won’t be released until November, but OSHA head Doug Parker said Amazon has a history of injury rates that are far higher than others in the warehouse category. In 2021, Amazon’s injury rate was almost 1.5 times the industry average. At some Amazon warehouse locations, Parker said, the rate was as high as 12 workers out of 100.

“That’s more than 10% of the workforce every year who are receiving injuries on the job that are serious enough that they have to take time away from their jobs,” Parker said, regarding those warehouses. “We know that it’s affecting thousands of workers and it’s very alarming.”

Bobby Gosvener is one former worker living with pain.

Gosvener worked at an Amazon warehouse in Tulsa, Oklahoma, until 2020. He said after a conveyor belt malfunctioned that December he was left with a herniated disk that required neck surgery. He’s now on permanent partial disability.

“I have to live with this injury for the rest of my life,” Gosvener said. “I hate to this day even to order through Amazon because it’s so convenient, but every time I look at a box, I think of the process of what went through it and who got hurt in the midst of it.”

Jennifer Crane works through pain at an Amazon warehouse in St. Peters, Missouri, after hurting her wrist in October. She said she tore a ligament from “packing a case of sparkling water repetitively all day, along with dog food and Gatorades.” She wears a brace to help her get through the day.

“After like two hours of heavy lifting, I’m taking pain meds,” Crane said.

She needs the job. Crane became a single mom to her seven sons when her husband died of a heart attack in 2019.

“I’ve got to be able to support them. I have bills to pay,” she said. Crane said she knows she could look for other work, “but right now I’m in the fight to try to make it better there for everybody.”

Amazon worker Jennifer Crane at her house outside St. Louis, Missouri, in 2022.

Missouri Workers Center

Crane is circulating a petition at her warehouse asking for a slower pace of work, more breaks, ergonomic changes and equipment updates. 

In response to those accounts of injury and pain, Amazon spokesperson Maureen Lynch Vogel said in a statement, “Amazon worked diligently to accommodate both employees and ensure they had what they needed not only to work safely but also to recover. Any claim to the contrary is false.”

Amazon’s self-reported injury rate fell 9% between 2021 and 2022. Beyond warehouses, the e-commerce giant says its injury rate across all worldwide operations, some 1.5 million employees, dropped nearly 24% from 2019 to 2022.

“I don’t dispute that their injury rates may have gone down some over a period of time, but they’re still not good enough,” OSHA’s Parker said.

Strategic Organizing Center (SOC), a coalition of labor unions, crunched OSHA’s new data and found Amazon’s injury rate was more than double that of all non-Amazon warehouses in 2022. According to the report, Amazon employed 36% of U.S. warehouse workers in 2022, but was responsible for more than 53% of all serious injuries in the industry.

Kelly Nantel, an Amazon spokesperson, said by email that the group’s findings “paint an inaccurate picture.”

“The safety and health of our employees is, and always will be, our top priority, and any claim otherwise is inaccurate,” Nantel said. “We’re proud of the progress made by our team and we’ll continue working hard together to keep getting better every day.”

“Amazon’s apparent attitude about this is to deny that they have a problem,” said Eric Frumin, SOC’s health and safety director.

Federal scrutiny

Federal authorities are now looking into the health and safety issues, with inspections across seven Amazon warehouses in five states last summer. OSHA issued citations at all seven locations.

“At every single facility we found serious hazards that were putting workers at serious risk of bodily harm,” Parker said. “What is most concerning is the scale. We have every reason to believe that the types of processes where we found hazards in these facilities are processes that are used in Amazon facilities across the country.”

OSHA also acted on referrals from the U.S. Attorney’s Office for the Southern District of New York, which pointed to similar hazards in its own investigation of the facilities. Two more warehouses were cited for safety violations by Washington state’s Department of Labor. OSHA also cited Amazon for 14 record-keeping violations, finding that the company failed to properly report worker injuries and illnesses.

Amazon is appealing all the citations. If they’re upheld, the company will have to pay its first ever federal fines for worker musculoskeletal injuries. So far, they total nearly $152,000. The Washington state DOJ fines add an additional $81,000.

Amazon has a market cap of roughly $1 trillion and last year generated revenue of over $500 billion.

“There’s no amount of money that the Labor Department can impose as a penalty that’s going to make a difference to a company that runs through billions of dollars a day,” Frumin said. “What matters is, are they going to respect the need for their workers to be safe?”

In a rare case of federal cooperation, the Department of Justice is also investigating Amazon, asking if the company “engaged in a fraudulent scheme designed to hide the true number of injuries,” according to a January press release. The DOJ’s civil division is looking into whether Amazon executives made “false representations” to lenders about its safety record to obtain credit. 

In a statement, Amazon told CNBC, “We strongly disagree with the allegations and are confident that this process will ultimately show they’re unfounded.” The company said it’s expanding the team responsible for record-keeping.

‘If you’re rushing, you’re going to make mistakes’

For Daniel Olayiwola, who’s worked at Amazon since 2017, the primary concern is the pressure to work quickly.

“You have to make sure these rates are met,” Olayiwola said. “Otherwise you’re going to be getting a write-up. Then you’re not going to be getting any opportunities to switch positions or move up at all.”

Olayiwola introduced a proposal at last year’s annual shareholders meeting, asking Amazon to stop tracking workers’ rate of work and what’s called “time off task.” The measure failed. 

“It is a big contributor to the amount of injuries we get at Amazons worldwide,” Olayiwola said. “I can hands down say that. If you’re rushing, you’re going to make mistakes and someone’s going to get hurt.”

Amazon worker Daniel Olayiwola poses outside his warehouse in San Antonio, Texas, on March 9, 2023.

Lucas Mullikin

Olayiwola drives a forklift to pick up heavy items in a warehouse in San Antonio, Texas. He said the slowest acceptable rate at the facility is about 22 an hour, “meaning you’d have to pick an item every three minutes.”

“Which is crazy if the item is a mirror, a dresser, a bed frame,” Olayiwola said. “But you have to keep picking these items and you have to drop them off at these designated drop zones.”

An Amazon spokesperson said in an email that the “pace of work” isn’t referenced in any of OSHA’s citations. But the Southern DIstrict of New York’s investigations at six warehouses cited pace of work as an issue. And three states — New York, California, and Washington — have passed legislation seeking to curtail the use of productivity quotas at Amazon warehouses. 

In the meantime, Olayiwola has sought support from United for Respect, a retail worker advocacy group, and he hosts a podcast called “Surviving Scamazon.” Like Crane, he wants to support his family while working to produce change from the inside. His wife is pregnant with their second child, and he calls his work at Amazon a “necessary evil.”

OSHA says similar investigations are currently underway at 10 other Amazon sites, with broader investigations pending at dozens more.

Watch the video to learn more.

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Apple’s market share slides in China as iPhone shipments decline, analyst Kuo says

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Apple's market share slides in China as iPhone shipments decline, analyst Kuo says

Jaap Arriens | Nurphoto | Getty Images

Apple is losing market share in China due to declining iPhone shipments, supply chain analyst Ming-Chi Kuo wrote in a report on Friday. The stock slid 2.4%.

“Apple has adopted a cautious stance when discussing 2025 iPhone production plans with key suppliers,” Kuo, an analyst at TF Securities, wrote in the post. He added that despite the expected launch of the new iPhone SE 4, shipments are expected to decline 6% year over year for the first half of 2025.

Kuo expects Apple’s market share to continue to slide, as two of the coming iPhones are so thin that they likely will only support eSIM, which the Chinese market currently does not promote.

“These two models could face shipping momentum challenges unless their design is modified,” he wrote.

Kuo wrote that in December, overall smartphone shipments in China were flat from a year earlier, but iPhone shipments dropped 10% to 12%.

There is also “no evidence” that Apple Intelligence, the company’s on-device artificial intelligence offering, is driving hardware upgrades or services revenue, according to Kuo. He wrote that the feature “has not boosted iPhone replacement demand,” according to a supply chain survey he conducted, and added that in his view, the feature’s appeal “has significantly declined compared to cloud-based AI services, which have advanced rapidly in subsequent months.”

Apple’s estimated iPhone shipments total about 220 million units for 2024 and between about 220 million and 225 million for this year, Kuo wrote. That is “below the market consensus of 240 million or more,” he wrote.

Apple did not immediately respond to CNBC’s request for comment.

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Amazon to halt some of its DEI programs: Internal memo

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Amazon to halt some of its DEI programs: Internal memo

Amazon said it is halting some of its diversity and inclusion initiatives, joining a growing list of major corporations that have made similar moves in the face of increasing public and legal scrutiny.

In a Dec. 16 internal note to staffers that was obtained by CNBC, Candi Castleberry, Amazon’s VP of inclusive experiences and technology, said the company was in the process of “winding down outdated programs and materials” as part of a broader review of hundreds of initiatives.

“Rather than have individual groups build programs, we are focusing on programs with proven outcomes — and we also aim to foster a more truly inclusive culture,” Castleberry wrote in the note, which was first reported by Bloomberg.

Castleberry’s memo doesn’t say which programs the company is dropping as a result of its review. The company typically releases annual data on the racial and gender makeup of its workforce, and it also operates Black, LGBTQ+, indigenous and veteran employee resource groups, among others.

In 2020, Amazon set a goal of doubling the number of Black employees in vice president and director roles. It announced the same goal in 2021 and also pledged to hire 30% more Black employees for product manager, engineer and other corporate roles.

Meta on Friday made a similar retreat from its diversity, equity and inclusion initiatives. The social media company said it’s ending its approach of considering qualified candidates from underrepresented groups for open roles and its equity and inclusion training programs. The decision drew backlash from Meta employees, including one staffer who wrote, “If you don’t stand by your principles when things get difficult, they aren’t values. They’re hobbies.”

Other companies, including McDonald’s, Walmart and Ford, have also made changes to their DEI initiatives in recent months. Rising conservative backlash and the Supreme Court’s ruling against affirmative action in 2023 spurred many corporations to alter or discontinue their DEI programs.

Amazon, which is the nation’s second-largest private employer behind Walmart, also recently made changes to its “Our Positions” webpage, which lays out the company’s stance on a variety of policy issues. Previously, there were separate sections dedicated to “Equity for Black people,” “Diversity, equity and inclusion” and “LGBTQ+ rights,” according to records from the Internet Archive’s Wayback Machine.

The current webpage has streamlined those sections into a single paragraph. The section says that Amazon believes in creating a diverse and inclusive company and that inequitable treatment of anyone is unacceptable. The Information earlier reported the changes.

Amazon spokesperson Kelly Nantel told CNBC in a statement: “We update this page from time to time to ensure that it reflects updates we’ve made to various programs and positions.”

Read the full memo from Amazon’s Castleberry:

Team,

As we head toward the end of the year, I want to give another update on the work we’ve been doing around representation and inclusion.

As a large, global company that operates in different countries and industries, we serve hundreds of millions of customers from a range of backgrounds and globally diverse communities. To serve them effectively, we need millions of employees and partners that reflect our customers and communities. We strive to be representative of those customers and build a culture that’s inclusive for everyone.

In the last few years we took a new approach, reviewing hundreds of programs across the company, using science to evaluate their effectiveness, impact, and ROI — identifying the ones we believed should continue. Each one of these addresses a specific disparity, and is designed to end when that disparity is eliminated. In parallel, we worked to unify employee groups together under one umbrella, and build programs that are open to all. Rather than have individual groups build programs, we are focusing on programs with proven outcomes — and we also aim to foster a more truly inclusive culture. You can read more about this on our Together at Amazon page on A to Z.

This approach — where we move away from programs that were separate from our existing processes, and instead integrating our work into existing processes so they become durable — is the evolution to “built in” and “born inclusive,” instead of “bolted on.” As part of this evolution, we’ve been winding down outdated programs and materials, and we’re aiming to complete that by the end of 2024. We also know there will always be individuals or teams who continue to do well-intentioned things that don’t align with our company-wide approach, and we might not always see those right away. But we’ll keep at it.

We’ll continue to share ongoing updates, and appreciate your hard work in driving this progress. We believe this is important work, so we’ll keep investing in programs that help us reflect those audiences, help employees grow, thrive, and connect, and we remain dedicated to delivering inclusive experiences for customers, employees, and communities around the world.

#InThisTogether,

Candi

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Tesla recalling 239,000 vehicles in U.S. over rearview camera failures

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Tesla recalling 239,000 vehicles in U.S. over rearview camera failures

New Tesla Model 3 vehicles on a truck at a logistics drop zone in Seattle, Washington, on Aug. 22, 2024.

M. Scott Brauer | Bloomberg | Getty Images

Tesla is voluntarily recalling about 239,000 of its electric vehicles in the U.S. to fix an issue that can cause its rearview cameras to fail, the company disclosed in filings posted Friday to the National Highway Traffic Safety Administration’s website.

“A rearview camera that does not display an image reduces the driver’s rear view, increasing the risk of a crash,” Tesla wrote in a letter to the regulator. The recall applies to Tesla’s 2024-2025 Model 3 and Model S sedans, and to its 2023-2025 Model X and Model Y SUVs.

The company also said in the acknowledgement letter that it has already “released an over-the-air (OTA) software update, free of charge” that can fix some of the vehicles’ camera issues.

In 2024, Tesla issued 16 recalls in the U.S. that applied to 5.14 million of its EVs, according to NHTSA data. The recall remedies included a mix of over-the-air software updates and parts replacements. More than 40% of last year’s recalls pertained to issues with the newest vehicle in the company’s lineup, the Cybertruck, an angular steel pickup that Tesla began delivering to customers in late 2023.

Regarding the latest recall, the company said it had received 887 warranty claims and dozens of field reports but told the NHTSA that it was not aware of any injurious, fatal or other collisions resulting from the rearview camera failures.

Other customers with vehicles that “experienced a circuit board failure or stress that may lead to a circuit board failure,” which cause the backup camera failures, can have their vehicles’ computers replaced by Tesla, free of charge, the company said.

Tesla did not immediately respond to CNBC’s request for comment.

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