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 ...
In tbe early nineties there was a site called biblio-somthing. Great books. Amazon bought it I think.
Now I use Alibris as much as I can.
And on a Saturday night no less. Love you right back Laz!
Amazon has a large warehouse in Lancaster and a smaller one in Tonawanda. These might be leased, although the Lancaster one looks to be quite new. There is another in Hamburg near FedEx Ground.
They may be getting out of older leased space and building new, larger, more automated warehouses near cargo airports.
NYS just raised the minimum wage Upstate on Friday by a buck an hour.
No vote in the legislature needed, BTW.
I’m betting those Amazon jobs are on the block whether or not the warehouse space is leased.
Let me add some confusing observations to that thought...
Amazon started buying substantial office space and office property in downtown Bellevue, WA, about five years ago.
They bought the former Expedia building, and then took over and completed a partially constructed building right across the street from Expedia, right next to Puget Sound Energy.
Both those buildings are still completely empty!
Amazon also owns about 5 acres of land that borders the north side of the Bellevue Downtown Transit Center. They did nothing with that land for several years. Six months ago, they suddenly tore down the old buildings and parking garage on that land, and they are doing new foundation work over the entire five acres.
Bottom Line - two blocks south of the Transit Center, Amazon owns two completely empty buildings. Directly north of the Transit Center, Amazon is preparing to build 5 more acres of new buildings.
Anyone have a credible theory about what Amazon is doing in downtown Bellevue?
My son is working on that Bellevue project. I think I’ll start needling him for information.
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