Posted on 10/01/2022 11:20:12 AM PDT by FarCenter
Amazon, which booked net losses in Q1 and Q2 totaling nearly $6 billion and whose shares are down 38% from their high in July last year, is undertaking large-scale efforts to cut costs – including commercial real estate costs. It is closing or cancelling 44 warehouses across the US; it’s halting construction on six office towers, and won’t start construction on a seventh. And now it emerges that it plans to close four of its five call centers in the US and switch those customer service representatives to working from home.
Amazon currently operates five call centers in the US. Kennewick, WA; Lexington, KY; Phoenix, AZ; Huntington, WV; and Houston, TX. It plans to close four of them. Either the Houston or the Huntington facility will likely remain open, according to Bloomberg, citing a source.
Amazon confirmed to Bloomberg that the call center work will be shifted to work from home. Even before the pandemic, it already allowed some call center workers to work from home.
“We’re offering additional members of our customer service team the increased flexibility that comes with working virtually,” an Amazon spokesman told Bloomberg. “We’re working with employees to make sure their transition is seamless while continuing to prioritize best-in-class support for customers.”
For many call center workers, not having to commute is a big benefit, and this should make recruitment easier and reduce turnover, in an economy where hiring and employee turnover are tough challenges for employers. In addition, Amazon can recruit call center workers around the US – essentially anywhere with a good internet connection – and is no longer tied to particular cities.
By cutting out four of its five call centers, Amazon will save on the costs of running them, including administrative and real estate costs.
(Excerpt) Read more at wolfstreet.com ...
South Lake Union in Seattle is about to feel some pain.
Corporations went along with Covid insanity and now they pay the price. My eyes are dry.
And so it begins...the consequences of many poor decisions by leaders/lawmakers/company heads.
My daughter did CSA work from home 10 years ago. Nothing new. Enormous call centers make little sense.
That’s what you get for helping libtards like President Screwup
Talk about slamming on the brakes.
Just this week, I ordered clothing from LL Bean, a book from AbeBooks, and some food items from Thrive. All my orders arrived within a few days, about the same as with Amazon Prime.
I still have an Amazon account but I'm finding little difference (and even better pricing sometimes) going to other ecommerce sites.
Now we can get to the important business of diversity, inclusion and equity.
amzn’s absorption of warehouse space has driven rates sky high, in many cases, higher than office rates. There needs to be a come to Jesus in this sector and I guess this is it
I used to process health insurance claims from home. It was far less expensive for the company even though they paid for all my equipment.
Many people no longer have as much spending money. The Biden economy is taking it’s toll.
Not exactly a mystery.
Closing Kennewick call center ... I don’t think that’s hit the local news yet.
As long as my latest Chinese $7.99 (free shipping) thingee gets here before they close...I’m OK.
The USA is going to be covered in half-completed commercial real estate projects again. I’ve seen this happen before where it takes a full decade or more to get them completed...or torn down.
Forty Four is a HUGE number. How many are still operating?
It’s going to take one or two decades to dig out from the COVID insanity heaped upon us by the CCC and the US Congress.
and it’s not that it’s 44 (although there’s another 25 mentioned as well) it’s that they are typically huge (200-500k SF each or bigger)
Also harder to go union when everybody works from home......
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