E-commerce giant Amazon has been hit with a $5.9 million fine by the California Department of Industrial Relations (DIR) for allegedly violating the state’s Warehouse Quota Law.
The DIR claims that Amazon failed to provide written notice to employees about productivity quotas, a requirement under the law designed to protect warehouse workers from excessive pressure and potential safety risks.
The DIR’s investigation uncovered over 59,000 violations across two Amazon warehouses in California. Despite Amazon’s argument that it doesn’t use a quota system, but rather a peer-to-peer evaluation system, the DIR determined that the company’s practices effectively amounted to a quota system.
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