How Amazon Mishandled Paying Dozens of Workers on Leave

In internal correspondence, company administrators warned of “inadequate service levels,” “deficient processes” and systems that are “prone to delay and error.”

The extent of the problem puts in stark relief how Amazon’s workers routinely took a back seat to customers during the company’s meteoric rise to retail dominance. Amazon built cutting-edge package processing facilities to cater to shoppers’ appetite for fast delivery, far outpacing competitors. But the business did not devote enough resources and attention to how it served employees, according to many longtime workers.

“A lot of times, because we’ve optimized for the customer experience, we’ve been focused on that,” Bethany Reyes, who was recently put in charge of fixing the leave system, said in an interview. She stressed that the company was working hard to rebalance those priorities.

The company’s treatment of its huge work force — now more than 1.3 million people and expanding rapidly — faces mounting scrutiny. Labor activists and some lawmakers say that the company does not adequately protect the safety of warehouse employees, and that it unfairly punishes internal critics. This year, workers in Alabama, upset about the company’s minute-by-minute monitoring of their productivity, organized a serious, though ultimately failed, unionization threat against the company.

In June, a Times investigation detailed how badly the leave process jammed during the pandemic, finding that it was one of many employment lapses during the company’s greatest moment of financial success. Since then, Amazon has emphasized a pledge to become “Earth’s best employer.” Andy Jassy, who replaced Mr. Bezos as chief executive in July, recently singled out the leave system as a place where it can demonstrate its commitment to improve. The process “didn’t work the way we wanted it to work,” he said at an event this month.

In response to the more recent findings on the troubles in its leave program, Amazon elaborated on its efforts to fix the system’s “pain points” and “pay issues,” as Ms. Reyes put it in the interview. She called the erroneous terminations “the most dire issue that you could have.” The company is hiring hundreds of employees, streamlining and connecting systems, clarifying its communications and training human resources staff members to be more empathetic.

But many issues persist, causing breakdowns that have proved devastating. This spring, a Tennessee warehouse worker abruptly stopped receiving disability payments, leaving his family struggling to pay for food, transportation or medical care.