NLRB Orders Amazon to Bargain Despite Company’s Objections

The National Labor Relations Board (NLRB) recently ordered Amazon.com Services to bargain with Amazon Labor Union at a fulfillment center located in Staten Island, N.Y. (JFK8 Facility). An Amazon spokesperson responded that “the NLRB’s certification of the March 2022 election is wrong on the facts and the law.”

NLRB Decision

In its April 1 decision, the NLRB noted that Amazon denies it has unlawfully refused to bargain. The company asserted it has no duty to bargain and is contesting the validity of the certification of the union based on its contention that the union is not the exclusive collective bargaining representative of any employee at its fulfillment center on Staten Island, the board said. However, Amazon litigated or could have litigated all representation issues in the prior representation proceeding, the NLRB stated.

Toolkit: Preparing for the Possibility of Union Organizing

Amazon claimed the union’s charge that it had violated the National Labor Relations Act (NLRA) was untimely. “Unlike cases in which a bargaining demand was never made, the union requested bargaining immediately after the election, and the parties litigated the election results for the next 10 months,” the NLRB said. 

Following the 2022 representation election, the regional director issued a decision and certification of representative on Jan. 11, 2023, certifying the union as the exclusive collective bargaining representative of the employees in the following appropriate unit as follows: 

Included: All hourly full-time and part-time fulfillment center associates employed at the employer’s JFK8 building in Staten Island.

Excluded: Clerical employees, delivery associates, engineering employees, guards, information technology employees, loss prevention employees, maintenance employees, managerial employees, onsite medical employees, professional employees, robotics employees, seasonal employees, supervisors, temporary employees, and truck drivers.

HR Q&A: Understanding NLRA Compliance

Within weeks after the regional director certified the union’s victory, triggering Amazon’s bargaining obligations, the union filed an unfair labor practice charge alleging a refusal to bargain. It is undisputed that Amazon told the region that it was aware of the charge, had no intention of bargaining, and intended to test the union’s certification, the board noted. “At that point, it was  unnecessary — and indeed would have been futile for the union to again request bargaining (although the complaint alleges that it did),” the NLRB said.

Before ruling for the union, the NLRB added, “When it is undisputed that the respondent has continued to refuse to bargain since the union’s certification, the board will find that continuing refusal to be unlawful.”

Amazon’s refusal to recognize and bargain with the union as the exclusive collective bargaining representative of the unit constituted an unlawful failure and refusal in violation of the NLRA, the board determined.

The NLRB noted that Amazon asked the board to stay its proceedings pending an appeals court’s review of a district court’s denial of its motion for a preliminary injunction. The case has since been transferred to the U.S. District Court for the District of Columbia, where it is currently pending on Amazon’s claims that the board’s structure and potential remedies are unconstitutional. Amazon has filed a motion for summary judgment in the district court, which had not acted at the time of the NLRB’s decision.

Amazon’s Response to NLRB Decision

“The truth is that both the Amazon Labor Union and representatives of the NLRB improperly influenced this election,” an Amazon spokesperson said. The ruling “is just part of the process of challenging the underlying certification. We’re confident an unbiased court will overturn the original certification, and we look forward to the opportunity for our team to fairly voice their opinions.”

Amazon employees have the choice of whether or not to join a union, Amazon added. “We believe that working directly with our team is the best way to ensure every employee is respected and valued as an individual and can have their voice heard. The fact is we already provide much of what the union is requesting, including safe and inclusive workplaces, competitive pay, health benefits on day one, and opportunities for career growth.”

Starting this year, Amazon reduced entry-level health care costs to $5 per week and co-pays to $5, cutting employee contributions by about 34% and co-pays by 87%, the company added. “These changes mean hundreds of dollars in savings each year, helping make health care more affordable for our employees and their families,” it stated.

In addition to health care benefits, Amazon’s benefits package, the company noted, includes: 

• Retirement savings with a company 401(k) match.
• Flexible time-off options that increase with tenure.
• Paid parental leave and family support programs.
• An employee assistance program, offering 24/7 mental health short-term counseling, referrals, and support.

The company said it has increased the pay for its U.S. fulfillment and transportation employees to more than $23 per hour, which it said brings their average total compensation — including benefits — to $30 per hour.