Amazon plans to shut warehouses, putting jobs at risk

Online retail giant Amazon has said it plans to shut three warehouses in the UK, putting 1,200 jobs at risk.

However, the company also said it planned to open two new centres creating 2,500 jobs over the next three years. It added the new warehouses would deploy robotics.

The three warehouses being closed are in Hemel Hempstead, Doncaster and Gourock, in the West of Scotland. The firm said staff at the sites being closed would be offered the chance to move to other Amazon locations.

The Hemel Hempstead site employs 500 staff, while there are 400 in Doncaster. Gourock is home to the fewest number of employees, at 300, but it has less scope for alternative work in the surrounding area within Amazon.

The company acknowledged this and said they were to be offered retraining and reskilling opportunities as part of efforts to secure new work.

Last week, the global giant retailer, which employs 70,000 in the UK, announced it would cut more than 18,000 jobs globally, the largest number in the firm’s history, to reduce costs.

The BBC reports that an Amazon spokesperson said the decision to close the UK warehouses was made after a review of operations in the country and was “completely unrelated” to the wider cuts, which primarily affect office staff.

The firm said the new warehouses would be “state of the art” robotic facilities located in Peddimore, West Midlands, and Stockton-on-Tees, County Durham, the BBC said.

“We’re always evaluating our network to make sure it fits our business needs and to improve the experience for our employees and customers,” the company said.

Amazon, which launched in the UK in 1998, expanded rapidly during the pandemic.

The firm operates two other warehouses in Doncaster as well as one in Dunstable, a 20-minute drive from Hemel Hempstead, which Amazon said may be able to absorb staff affected by the closures.

Today’s announcement has come under fire from Steve Garelick, GMB union officer for Hemel Hempstead, who called the moves a “real kick in the teeth for Amazon staff who worked themselves into the ground during the festive rush”. It may be difficult for workers to take roles further away from their homes, he added.

“Hard-up Amazon workers can’t suddenly be expected to up sticks and move to a different fulfilment centre, which may be many miles away,” he said.

Amazon has faced growing pressure over workers’ rights since the pandemic. Hundreds of workers at a warehouse in Coventry voted last month to stage what is believed to be the first strike action at the company in the UK. The walkout, part of a row over pay, is set to happen on 25 January.

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