Amazon Hit with Nearly $6 Million in Fines for Violating California Labor Laws

Amazon has been fined $5.9 million by the California Labor Commissioner's office for violating a state law designed to protect warehouse workers. The law, AB-701, mandates that large companies inform warehouse and distribution center employees in writing about their expected quotas, the frequency of tasks, and the consequences of not meeting those quotas.

This legislation was introduced following reports from Amazon workers who felt compelled to skip bathroom breaks and risk injuries to meet their productivity targets. "The dedicated warehouse employees who have supported us through these challenging times should not have to endanger themselves or face penalties due to exploitative quotas that compromise basic health and safety," said Governor Gavin Newsom when he signed the bill in 2021.

The California Labor Commissioner found Amazon in violation of these rules at its facilities in Moreno Valley and Redlands, with a total of 59,017 infractions recorded during inspections. This fine is one of the first significant penalties imposed under AB-701, which came into effect in January 2022. Amazon argued that it uses a "peer-to-peer system" and thus did not need to provide written information.

"The peer-to-peer system Amazon implemented in these warehouses is precisely what the Warehouse Quotas law aims to prevent," stated Labor Commissioner Lilia García-Brower. "Undisclosed quotas increase pressure on workers to accelerate their pace, leading to higher injury rates and other issues as workers are forced to skip breaks."

AB-701 was introduced by State Assembly Representative Lorena Gonzalez, who also championed California's AB-5 bill in 2019 to improve protections for gig workers at companies like Uber and Lyft.

Amazon spokesperson Maureen Lynch Vogel expressed the company's disagreement with the citations and noted that they have appealed the fines. "We do not have fixed quotas," Vogel said. "At Amazon, individual performance is assessed over a long period, relative to the entire site’s team performance. Employees are encouraged to review their performance regularly and can always discuss any concerns with a manager."