It's unclear how many employees will be laid off as a result of the facility closures.Īmazon appears to have given some drivers the option to transfer to nearby facilities, according to a post on a popular Reddit group for delivery drivers.Īmazon said 190 employees will lose their current positions as the company closes a delivery station in Hanover, Maryland, based on a Worker Adjustment and Retraining Notification (WARN) filing submitted late last month. The program now counts 3,500 companies who employ 275,000 drivers globally. The drivers are employed by third-party companies that are part of Amazon's delivery service partner program, which launched in 2018. The company is now rethinking its scale at every step of its fulfillment network, from the massive warehouses that pick, pack and ship orders, to the smaller, last-mile delivery stations that are the final stop before packages are dropped off at shoppers' doorsteps.Īmazon relies on legions of contracted drivers to speed packages to customers doorsteps.
Amazon found itself saddled with "too much space…versus our demand patterns," CFO Brian Olsavsky told reporters in April. The company's footprint nearly doubled from roughly 272 million square feet at the end of 2019 to more than 525 million square feet at the end of 2021.īy early 2022, e-commerce activity began to slow, as inflation-weary consumers reduced their spending online and also returned to shopping in stores.
Amazon embarked on a building binge between 20 as it raced to keep up with a flurry of online orders as the Covid pandemic kept millions of people at home.
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