Equities

NLRB: Amazon's Jassy's Remarks Violate Labor Law, Must Cease

NLRB judge rules Amazon CEO's anti-union comments violate labor law, orders company to cease such remarks and affirm labor rights.

By Jack Wilson

5/1, 20:23 EDT
Amazon.com, Inc.
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Key Takeaway

  • NLRB judge rules Amazon CEO Andy Jassy violated labor laws with anti-union comments in 2022 media interviews.
  • Judge recommends Amazon to cease such remarks and distribute a notice affirming commitment to labor laws.
  • Amazon has the option to appeal the decision but has not commented on the ruling.

NLRB Ruling Against Amazon CEO

A National Labor Relations Board (NLRB) judge has found Amazon CEO Andy Jassy in violation of federal labor law due to comments made during media interviews in 2022. Administrative law judge Brian Gee cited Jassy's remarks from appearances on CNBC’s “Squawk Box,” Bloomberg Television, and at The New York Times’ Dealbook conference. These comments were made in the context of increasing unionization efforts within Amazon's warehouse and delivery operations.

In his CNBC interview in April 2022, Jassy suggested that unionization could lead to a less empowered workplace, making processes “much slower” and “more bureaucratic.” Similarly, during his Bloomberg interview, he implied that unionization would hinder employees' ability to effect change swiftly. At the Dealbook conference, he contrasted a non-unionized environment as being less “bureaucratic” and faster in getting things done. Judge Gee interpreted these statements as threats that unionization would diminish employees' empowerment and their ability to expedite changes, thus ruling them as violations of labor law.

Amazon's Response and Legal Options

Amazon has previously contested the NLRB’s complaint, defending Jassy’s comments as lawful expressions of the company’s stance on unionization and its potential impact on direct interactions between employees and managers. Following Judge Gee's ruling, Amazon has the option to appeal to the NLRB board in Washington. As of now, an Amazon spokesperson has not provided comments on the judge's decision.

Judge's Recommendations

Judge Gee recommended that Amazon should be ordered to refrain from making similar comments in the future. Additionally, he suggested that Amazon should be required to post and distribute a notice nationwide to its employees, detailing the order and affirming the company's commitment to adhering to labor laws. This step is aimed at ensuring Amazon's compliance with regulations governing employee rights and unionization efforts.

Management Quotes

  • Andy Jassy, CEO of Amazon:

    "If employees were to vote in a union, they may be less empowered in the workplace and things would become 'much slower' and 'more bureaucratic.'" "If you see something on the line that you think could be better for your team or you or your customers, you can’t just go to your manager and say, ‘Let’s change it.’" "Without a union, the workplace isn’t 'bureaucratic, it’s not slow.'"