Amazon has spent over $3 million on anti-union consultants in an effort to prevent organized labor from entering its delivery network, with a total of more than $14 million spent on such consultants last year. These “persuaders” work to convince workers not to form unions by holding meetings that paint unions in a negative light. The use of these consultants is relatively high compared to other companies. Consultancy fees can exceed $3,000 per day, and Amazon has employed consultants to ensure its employees are fully informed about their rights, especially in response to large scale union organizing efforts.
The largest recipient of Amazon’s spending on anti-union consultants in 2023 was Penne Familusi’s firm, the Rayla Group, which brought in $1.3 million. Labor lawyer Katie Lev was the second highest-earning consultant, receiving $1.1 million. However, Lev was ruled to have made an illegal threat against Amazon workers by suggesting that their pay would be frozen if they tried to negotiate a contract. Amazon stated that these consultants were hired in response to union organizing efforts to educate employees and express the company’s opinion on union representation.
Amazon is facing challenges from various labor groups, including the International Brotherhood of Teamsters seeking to organize the company’s subcontracted delivery drivers, the Amazon Labor Union, and the Retail, Wholesale and Department Store Union conducting campaigns within its warehouses. The ALU successfully formed a union at the JFK8 warehouse in New York City but is still struggling to negotiate a first contract. The RWDSU lost an election at an Alabama warehouse in 2021, which was later invalidated by the NLRB due to Amazon’s legal violations. Additionally, a group of subcontracted delivery drivers in California unionized with the Teamsters last year, arguing that Amazon should bargain directly with them due to its influence over working conditions.
Amazon’s expenditures on anti-union consultants are part of its broader efforts to keep organized labor out of its delivery network. These consultants work to dissuade employees from forming unions by presenting negative information about unions during meetings. The use of such consultants is common among companies facing unionization efforts, with fees often exceeding $3,000 per day. Amazon has hired consultants like Penne Familusi and Katie Lev to educate employees and express the company’s stance on union representation in response to union organizing efforts.
Overall, Amazon’s spending on anti-union consultants exceeded $3 million last year, with a total of over $14 million spent on such consultants. This high level of expenditure reflects the company’s commitment to preventing organized labor from entering its delivery network. Consultants like Penne Familusi and Katie Lev were hired to engage in efforts to dissuade workers from forming unions and to express Amazon’s position on union representation. The company is facing unionization efforts from various groups, including the Teamsters, ALU, and RWDSU, with mixed success in forming unions at its warehouses. However, Amazon continues to engage in anti-union activities to maintain its non-unionized workforce in the face of ongoing labor challenges.
