Amazon may be running out of people to hire in the US, warns leaked memo

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Amazon may be running out of people to hire in the US, warns leaked memo
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Amazon would face a looming crisis: It could run out of people to hire in its US warehouses by 2024, leaked internal research warns from mid-2021 according to a Recode report. This can derail the online retailer‘s quality of service, its growth plans and its dominance in the e-commerce market, the report says citing the memo.

According to the memo, a few sweeping changes to the way the company does business and manages its employees could help alter that timeline significantly. “If we continue business as usual, Amazon will exhaust the supply of labor available in the US network by 2024,” the research paper states.

However, in a statement to Engadget, an Amazon spokesperson said the leaked document is not an accurate assessment of his employment status. “There are many draft documents written on many topics in the business that are used to test assumptions and look at different possible scenarios, but are not then escalated or used to make decisions. This was one of them. It does not represent the current situation, and we continue to hire well in Phoenix, the Inner Empireand across the country,” said Rena Lunak, director of global operations and field communications for Amazon.

Incidentally, Amazon invested heavily in automation when it acquired Kiva Systems in 2012. Amazon spent $775 million to buy Kiva Systems. The acquisition gave Amazon access to the mobile robots it now uses in its US warehouses.

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