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1 out of every 153 American workers is an Amazon employee (businessinsider.com)
646 points by pseudolus on July 30, 2021 | hide | past | favorite | 532 comments



I’m torn badly with Amazon. After read The Everything Store, and what has been written all over the place, Jeff Bezos is a massive turd. Employees are horribly treated, wages suppressed, and all sorts of terrible and abusive practices.

Then it comes time for me to buy something. I needed a new pair of size 14 sneakers. I drove to Adidas, Footlocker, dicks, and a few other stores but I just couldn’t justify $100 sneakers that didn’t look like prison issued.

Opened my Amazon app in my car after leaving the crowded mall, and find what appear to be a decent pair of shoes. FakeSpot agreed with the reviews, and I bought then for $35. They will arrive tomorrow.

That kind of convenience is terribly addicting. I haven’t figured out the solution, but I remember what it was like when Walmart came to town, put others out of business, mistreated employees, etc. We were unable to stop it then, how the heck are we going to stop it now?

So aside from “just stop buying from Amazon” what can we do ?


> So aside from “just stop buying from Amazon” what can we do ?

The "just stop buying amazon" arguments never made sense to me in the first place, because most people who use it are the ones budget-stretched in the first place. A lot of rural communities have no other viable options for some items as well.

It will take massive government action and that's it. There's no other way we can fix this problem. Wages are suppressed because it's _legal enough_ to suppress them. Labor fines basically become a cost of doing business.

After the union busting that went on during the Alabama Amazon unionization votes, after all of these labor complaints against Amazon coming under media attention and not a single thing being done about it, it's clear that there is truly nothing that will stop it except a general strike.


There's also the other option similar to what happened after the New York Elevator Operator Strike in 1945 -- the total elimination of a profession.

https://www.inc.com/thomas-koulopoulos/100-years-ago-we-fear...

"It wasn't until the middle of the twentieth century that the tipping point came along for the driverless elevator as the result of a strike by the elevator operators' union in New York City in 1945.

The strike was devastating, costing the city an estimated one hundred million dollars. Suddenly, there was an economic incentive to go back to the automatic elevator. Over the next decade there was a massive effort to build trust in automatic elevators, which resulted in the elimination of tens of thousands of elevator operator jobs."

If Amazon is close enough to automating these jobs, then it will likely just automate it and fire whoever it can. If not, then you're likely making the path towards that faster.

I don't see any way for the employees to win this beyond buying a bit more time. Unless the employees, the government, and Amazon, find a way for them to get a profession in which they have more leverage thanks to the *high individual value* they provide, rather than being a temp for future robots.

One solution can be for a union, government, Amazon etc, is to put aside money for a fund that will invest in training these employees so they could one day not depend on these kind of low-leverage jobs.


"being a temp for future robots"

While everyone was predicting that the dirty jobs would get automated, instead its a lot of midlevel jobs are getting automated, but we still don't have a robot that can take out the trash.

I am willing to bet my house thay we can automate away the CEO but not the janitor, and it will be hilarious.

Management is just analysis of data, we can do that. But the physical works requires dexterity and robotics that still escapes us.


> we still don't have a robot that can take out the trash

Because it's hard to justify the $$$ on a robot to automate a job that takes 30 seconds once a week.

Modern people don't realize it, but an awful lot of household drudgery has been automated. I'm old enough to remember life before the microwave. What a marvelous time saver that is! You can even buy one from the thrift store for $10. I remember them being $1000, and that was back when a dollar was worth something.


Yeah, I'm old enough to remember that era, too.

My first encounter with a microwave was at far Bob's in Pasadena. Finals had just ended at Cal Tech and I walked to far Bob's to decompress. I had no knowledge of microwave ovens.

I ordered a piece of cherry pie. Waitress decided to warm it without telling me, using their then-new microwave oven.

The plate was ice cold when she passed it to me. When I bit into a piece of the pie, I burned the bejesus out of my mouth. I yelped and the waitress came running.

She showed me this magic box, which made sense as I'd just finished E&M. She comped me the pie and since it was a slow night (around 2am), we spent an hour testing different foods in the microwave. Bacon layered in paper towels was the clear winner.


Nice to see a fellow techer here!

The fastest tech revolution I ever saw was in the fall of '75, when I was a frosh. At the beginning of the semester, the Caltech bookstore had slide rules for $125. By December, they were on closeout for $5. Never saw them again. The calculators had arrived!


What was that like, going from log tables to instant calculations?


Like riding your bike to school instead of walking.

(Showing my age again. Kids today don't ride bikes to school. All you gotta do is look at the lonely single bike rack at elementary schools. In my day there were lots of racks festooned with bikes. These days when I pass a school, there's a long line of moms in SUVs with the motor running talking on their phones.)


> Kids today don't ride bikes to school.

In the USA. But in plenty of other places they do. In fact, at the bike rack of my sons school there is too little place, so some of them overflow onto the school yard.


Add to that the cheap-as-dirt popcorn maker. My mom would make popcorn in a frying pan. The machine is sooo much easier.

There are the mothers of kitchen automation:

1. refrigerator

2. garbage disposal

3. dishwasher

4. electric / gas stove and oven

These are really marvelous inventions. It seems I spent half my childhood washing dishes by hand. Ugh.


Out of interest, what do you mean by automated garbage disposal? The urban infrastructure of someone taking away your garbage, or the mostly-US device installed in your sinks?

The latter does not exist in Europe so I haven't ever thought it would be an important step in reducing chores. We have bio waste bins for food leftovers which seems pretty efficient already.


It's a grinder machine that people install just below their drain. Ostensibly so that you don't have to put a strainer in there.

In my opinion they provide basically zero value but lots of trouble. They encourage putting all kinds of nastiness down your pipes and in my experience tend to break and leak. But they are virtually ubiquitous here.


Lots of local and regional governments in Europe encourage people to not use the toilet or the sink as a trash can. The wastewater is usually treated before arriving to rivers and other places, so the cleanest is the water, the easiest is to treat it.


Absolutely, only toilet paper can be thrown to toilets. Everything else must go to garbage bins, especially all kinds of wet wipes. Same is surely true for US too.


> My mom would make popcorn in a frying pan. The machine is sooo much easier.

But perhaps not as much fun, particularly if you forget to put the lid on?

> It seems I spent half my childhood washing dishes by hand. Ugh.

Yes, I remember that when I left home to go to university, the very first thing my parents did was to buy a dishwasher.

Mind you, I don't have one today - kitchen too small, and I don't like bending down to fill/empty it.


I'll be honest: I do think frying pan popcorn legitimately tastes better. That said, it can't be argued it's far easier to use the machine.


pretty easy if you use a steel mixing bowl covered in foil with some holes poked (unpopped kernels pool towards the Center)


I still don't have a dishwasher or a garbage disposal (and I've never even used / seen any), diswasher seems really marginal upgrade as a childless couple - I guess it is a timesaver for a family of 4+?

I'm really wondering about the garbage disposal thing and I'll go Google about them.


Microwaves are great but they save waiting time more than drudgery. A toaster oven will heat/cook something with just as little input.


> but we still don't have a robot that can take out the trash.

Pneumatic waste collection is a thing, and has been for quite some time.

See

- https://www.wired.com/2010/08/trash-sucking-island/

- https://untappedcities.com/2020/04/09/inside-roosevelt-islan...

- https://qz.com/1909600/the-future-of-garbage-collection-is-p...


Management isn't analysis of data, it is making a decision based on that analysis. A completely different and more complex problem. One could argue that the border between the two is unclear but we have for sure been automatizing the analysis and we are nowhere near removing the managers. Maybe we could say we have removed layers of management though


I'm with the bet-the-house guy. I've worked for huge organizations since 1990 and I really think that even a mid-grade student project could make decisions as well as the management I've known, which includes multiple Fortune 50 CEOs. When I say "known" I mean "known" and not "been ten layers under."

What I think will happen is CEOs will be glorified actors that are tasked with delivering the decisions some ML system has made. It'll be like the "white guy in a suit" role that some Chinese companies have.


There are strong reasons to believe that tasks that are new to humans and are considered difficult, will be easy to AI. Like programming, finance, strategy, etc

Whereas things humans have developed over millions of years and think are easy, like vision, dexterity, etc might be quite hard and the last things to be automated.


ML systems don’t make decisions.

I feel like a lot of comments about what ML will do start with a misunderstanding of what ML actually is.

Saying ML will make a CEO’s decisions is like saying Excel will make CEO’s decisions. Neither is anything more than a system for keeping track of correlations.


ML models don't make decisions, but there certainly are ML systems, within which are ML models embedded with data flows, business logic, etc., which make "decisions" or "adjudications" or "classifications" or whatever term you are trying to avoid here.


Neither do most CEOs. What they do is best guess which fully evaluated option for (d)investment they like better based on gut feel. Most business-oriented decisions are basically stack ranking the options presented.


This is basically where we are today, except that instead of AI it's management consultants (and they're expensive).


Because you knew every counter factual, right?


Absolutely. This is why it would be better to chose the best option without the management.

I regularly consult management about technical decisions and the always chose something else than the best option. Based on feelings, opinions and kickback rates.


> I regularly consult management about technical decisions....

Well, right there's your problem.


Don't we have robots that take out the trash? The garbage trucks pickup the garbage and put it in the truck.

Also, the vacuum now empties itself


forget if it empties, the fact 90%+ of my vacuuming is done automatically is incredible! I can live with the 30 seconds to empty the bin every couple weeks


How is your vacuuming done automatically? You mean with a Roomba robot?

Have you found those working? All my friends that have one just end up storing them somewhere never to be used again.


How? I've had a roomba for almost 2 years now, and I use it all the time - it runs and cleans our living room and kitchen at least 2-3 times a week. There has been a noticeable reduction in dust present in the house. And that's not even a fancy self-emptying model, just a normal roomba where I have to empty the bin by hand. Why would you stop using one?


Not the parent comment, but I think it depends on the house you have. I find huge american houses with 3-5 rooms are unsuitable, except when you limit the robot to one or two rooms.

My apartment in Europe is suitable for it, as I do not have many rooms, so that it does a decent job on cleaning. I do not use the regular vacuum very often.


On the other hand my old European apartment isn't very suitable as my robot gets stuck on high door thresholds and under radiators. It's great anyway, just can't be left alone as I need to save it every now and then.


1) I think we can automate the janitor now. We just don't because it's cheaper to pay minimum wage for 25-30 years.

2) The CEO, and CEO pay, is already more of political action.


"I think we can automate the janitor now."

Have you ever seen a robot unclog a toiler? Get into a greasy kitchen vent to clean it? Clean out the molt between the tiles?

Of fuck that, there is no cleaning robot that can even recognise a stain a scrub it off with a brush.

Do you know there are different kinds of cleaning products and brushes for different surfaces?

Cleaning is a very complex process made up of hundreds of little actions, each fairly complex. They require loads of dexterity


> Have you ever seen a robot unclog a toiler? Get into a greasy kitchen vent to clean it? Clean out the molt between the tiles?

I have seen a plunger-bot. I have never seen a commercial plunger-bot. I think I've also seen a mold scrubber bot. I'm not trying to minimize the skill involved. I'm trying to say that the labor it replaces (assuming the time value of money and minimum wage increases cancel out) is worth 362,500 over 25 years. That's a lot of money, but it's also not for a robot that can do all those things assuming it was as efficient as replacing a whole person. And less if the robot has to be replaced more frequently.

If the market supported a robot that cost a few orders of magnitude more than that, I can see a fleet of robots. Not 100% "let 'er rip" L-5 autonomy, but where one person managed a fleet of specialized robots. Mapping out the surfaces ahead of time, etc.

I will say, I was responding to a "janitor" in the office environment doing routine tasks emptying trash. Not a kitchen vent cleaner. There are a lot of deep cleaning actions that would be harder to automate, and given their rareness and extra difficulty are likely the last to go.


> One solution can be for a union, government, Amazon etc, is to put aside money for a fund that will invest in training these employees so they could one day not depend on these kind of low-leverage jobs.

Unions have negotiated with companies that outsource or automate its members' jobs to secure compensation for the workers who were affected.

However, I think this is a problem that requires a larger solution. There needs to be compensation plans for workers as they're automated away or outsourced. Perhaps it can be a buyout, or a shared ownership scheme where workers get shares in the company or the automation itself that pay dividends. Or a tax on automation or outsourcing that gets returned to workers.

We're heading towards a world where most work is done by machines, and only a handful of people will own, control and profit from them. I think a tax and a shared ownership model would help prevent a world where workers and their progeny are relegated to peasantry.


> We're heading towards a world where most work is done by machines, and only a handful of people will own, control and profit from them

People keep saying that but we are no closer than we were 50 years ago. A lot of jobs have been replaced but new jobs have been created and society has absorbed the increased productivity (cheaper goods, foods, and much more complex high end goods (iPhone, airplanes, etc).


> A lot of jobs have been replaced but new jobs have been created and society has absorbed the increased productivity.

Not in every case. You can look at workers in the Rust Belt. Their well paying jobs with benefits were "replaced" and new jobs never came, unless you think working at Walmart for close to minimum wage is one of those new jobs.

Even when, say, manufacturers come back and produce domestically, they've reduced what used to be a 1,000+ person job to one that requires 40 engineers and a handful of maintenance people. It's not like any of those factory workers who were laid off in the past were later rehired as engineers, either.

It isn't "society" that's absorbed absorbed increased worker productivity, but employers and those who own the automation. Worker productivity in the US increased dramatically over the last 20 years, and even more over the last 40. Despite that, worker compensation hasn't increased, and has roughly remained the same over those same 40 years[1].

[1] https://www.epi.org/productivity-pay-gap/


> Not in every case. You can look at workers in the Rust Belt

And the old coal mining towns in Northern England (and South Wales).


I think your source is just bad here. Productivity hasn’t increased, process streamlining has. This is usually thought up, created, and managed by the same higher earners that your “source” is saying is the cause of all of the worlds problems.

With wages the minimum wage in 1980 was $3.10, while the last increase from 2009 rose from $6.55 to $7.25 per hour


> It isn't "society" that's absorbed absorbed increased worker productivity, but employers and those who own the automation.

What society has "absorbed" is an expectation that stock markets will continue rising at a pace that significantly outstrips inflation and (related) wage increases. Pension funds and individual retirement savings (401k, RRSP) heavily rely on employers pocketing the bulk of productivity increases for themselves and continuing to exploit labour. It'd be interesting to see the chaos that would arise if governments decided at some point that workers should get an equal share of that.


> It isn't "society" that's absorbed absorbed increased worker productivity,

Yes it has. Food is way cheaper now. Clothes are way cheaper. Transportation is way cheaper. Housing is way better (and cheaper if you want what passed for housing in the 40s).


Employment rates aren't the issue IMO, wealth concentration is. And that's increasing.

It's important because wealth is essentially power, so concentration of wealth inevitably changes the balance of power in society. And that in turn creates a feedback loop where the wealth and powerful can undermine thelaws and regulations intended to keep the distribution of wealth and power from becoming too lopsided.

This is why I view the current everything-as-a-service model that takes things people used to own and turns them into things people rent pretty skeptically.


Do you think the centralization of power in the federal government is a problem? Do you think famous people are a problem? Or is it only wealth that's a problem?


Power, as in the ability to alter others lives, is the “problem” IMO. Wealth is only a problem in that it’s intrinsically linked to power.

Really I think it’s a balancing act. Since we can’t just get rid of the concept of power, we try to regulate its use. This is pretty difficult.


The government is, to a certain extend, chosen by the people.


But it doesn't represent the people, which is the problem: https://act.represent.us/sign/the-problem/


That wealth is power is a correlation that few realize.

It’s why these wage debates get so heated - they threaten the core social power of people.

And it absolutely is a feedback loop. Something about absolute power corrupting absolutely.


People keep saying that but we are no closer than we were 50 years ago.

People have been saying it for far longer than 50 years:

https://en.m.wikipedia.org/wiki/Luddite

The trouble is, both sides of the argument are correct. When disruption occurs, many people are badly disadvantaged even if society as a whole moves forward. It would be best to find ways to reduce the impact on the affected people without holding up automation and other improvements which have been shown to be beneficial to productivity in the long term.


And luddites were right because pre-industrial level of worker compensation, in real terms, was only achieved by the early XX century.


Actually compensation for most workers went up dramatically from the outset of the industrial revolution. There just wasn't that much wealth to go around prior to industrialisation.

http://nws-sa.com/rr/Inequality/Lindert.pdf


Counting workers is misleading, you don’t replace a 40$ an hour jobs with a 15$ an hour job without consequences. Beyond that looking at the percentage of Americans employed shows a net drop even accounting for retirement etc.

https://fred.stlouisfed.org/series/LNS11300001


Yep. Back in the hand-written letter days people must have thought “think how much time we would save if all this was automated and letters were delivered instantly!” Nope. We just send 10x more.


Yeah but we read 100% fewer of them.


> If Amazon is close enough to automating these jobs, then it will likely just automate it and fire whoever it can.

They will do this anyway. The reason it mattered for elevator operators is that you had to convince a bunch of end users that it was reasonable to self-operate the elevator after they had been trained for years to have an attendant, and you probably had to modify the deployed elevators all over the city--which weren't owned by and one party but had been installed by various buildings--to have additional safety features. Amazon can replace out how Amazon works internally and I would have no clue.


There's not enough high-value jobs to go around. We can either automate and share the wealth, or automate and have a class of useless poor people and some factory owners. Historically the former tends to end in violent ways. And so far, we haven't experimented enough with sharing the wealth in ways that also didn't turn incredibly authoritarian and also oppressive with violent ends...


> There's not enough high-value jobs to go around

it's hard to make this argument when you apply it to the industrial revolution which has already happened, and people aren't completely destitute because of it. In fact, people, on average, are wealthier because of it!

Automation means wealth, and this new-found wealth means more demand for goods/services - of which may not yet exist today. How many people would have guessed that a youtube content-creator is going to be a thing?


Key comment of the thread


Rest assured if Amazon could automate, Amazon would automate.

> I don't see any way for the employees to win this beyond buying a bit more time.

Why can't the government increase minimum wages? If those jobs are likely to get automated away then that's going to happen either way At least let them make decent wages _while_ they have a job.


And Amazon will over time or they'll get squeezed.

I get my groceries from Ocado in the UK. Their warehouses are almost entirely automated, including increasingly picking and packing groceries that often include soft or easily breakable products into bags.

They're moved from focusing on growing their own direct sales to increasingly licensing that platform globally.


You say that, but you know how many people that "fully automated" warehouse in the UK employs? Around 800 per shift. It was mentioned in the last incident report when one robot caught fire.

Yeah a big part of the work is automated. But these warehouses still need people.


They still need people, but far fewer, and dropping rapidly as a proportion of goods shipped. The number of workers is a distraction - what matters is product shipped per worker.

E.g. a few years ago the packing into bags was still done by people across the board from trays brought by robots. They've systematically automated more and more of it at a pretty astounding pace.



Amazon should be federally fined for every RIF sufficiently to pay for a retraining/education. As should all dominant employers receiving sweetheart deals on local taxes.

It should be done today and held in escrow for when it happens.


Should these menial, easily automated jobs in a low margin business exist in the future?


I think a fully automated amazon without a large local workforce and therefor a large local TAXBASE is going to be a huge target for regulatory enforcement.


How? If the workforce isn't local, then there's no citizens involved which US law applies too.


Reducing jobs reduces overall political support, which makes it more attractive for politicians and regulators to pass new laws or more aggressively pursue existing ones. Amazon could get hit with antitrust or some other new legal theory that develops.


Those warehouses have to go somewhere and politicians are much more likely to initiate a shakedown when non of their constituents benefit.


To be clear, from Amazon's point of view, all of their human employees are tamping for future robots right now.

They're always pushing for automation as fast as they possibly can.


I don’t disagree with you, but robots don’t spend money.


The problem is that all automatic elevators are going to be stamped Amazon and there is hardly any room available for someone else. It’s a bigger and bigger monopoly. I am sure that Amazon is going to automate as much as possible and it will only increase.

Cool story about the elevator. :)


> A lot of rural communities have no other viable options for some items as well.

I sometimes fantasize about what it would be like to live in a mild-to-moderately isolated community - moving to Hawaii, northern Alaska, some random island. It's fascinating reading blogs by people who live there, and many of them have a "So You Want to Move to _____" type of post. In virtually all of them, there is some comment along the lines of "It's really hard to find all the things you're used to buying out here, but at least Amazon delivers to us." One of those that I was reading about Hawaii said the big island only has a few big box stores but Amazon can deliver in two to three days.

Just thought that was an interesting tidbit.


Be careful trusting what you read. The blogs are run by people who've drank the cool-aid or move there already having made their money and life, not the kids who grew up there, saw it for what it was and GTFO'd or the townies who are either living on the relative poverty line (these economies are screwy, federal numbers don't apply well) or have a substance addiction.

Source: Grew up in one of those shitholes, actively rooting for sea level rise wipe it off the map, there is nothing of value there.


After having just taken my first trip to the big island I was actually very surprised how sparse the retail was. Felt very much like rural America.


They're probably using highly restrictive zoning/permitting to keep it out. Local businesses that are charging tourist prices don't want big box stores (who can't get away with a very big local markup) to compete with and local consumer facing businesses hold basically all the influence in that kind of economy.


There is no need to look for conspiracies.

There is only 185k people living on the "big island". I'm not sure why people would expect something other than a rural America level of services, when it is really just a small city of people effectively in the middle of no where.

Note that smaller cities in rural America service a much larger population than just the city itself. The island does not have a surrounding population that can drive an hour in once a week to make use of a big box stores.

Google maps says there is a Walmart, Kmart, Sears and a number of other well known American brands. It's not like they are being blocked from entering the market.


I wasn't talking about rural cities. I think those are generally pretty good and pretty well run. I was talking about how it works in the tourist dumps. Protecting your "authentic" <place> branded Chinese trinket importers from the big boxes is SOP in a tourist economy.


> I wasn't talking about rural cities.

I think you misunderstood me. Your comment was in response to:

> I was actually very surprised how sparse the retail was. Felt very much like rural America.

You then went on to argue that retail is not more developed because existing retailers are conspiring to keep the bigger retailers out.

I am arguing that there need not be a conspiracy. The real reason is more likely that it is not economical for a lot of big box retailers to serve such a small population.

I was also responding to the great grandparent's comment. They should not be surprised at a rural America level of retail on the big island of Hawaii, as it is pretty much rural America, what with low population density and isolated location.


The two times I went on a trip and we ended up at Walmart I was not pleased.

Of course we ended up at Walmart because the people I was with are suckers. Lovable suckers, but all-day suckers nonetheless.


Wages are suppressed because it's _legal enough_ to suppress them

I'm not an Amazon defender by any means, but doesn't Amazon pay the best in terms of comparable work which is why the warehouse jobs are so competitive to get? Or is that just Amazon PR to stave off regulations


It is mostly PR.

Among all Amazon workers, the median pay is $28,446 a year ($13.68 an hour), a figure the company revealed this year for the first time because of a new regulatory requirement. That’s a worldwide figure that includes full and part-time workers. Glassdoor, an employment site, says average pay at U.S. fulfillment centers has been $13 an hour, according to nearly 900 people who submitted their data to the site.

Amazon’s pay is significantly above the $10.28 an hour that the typical retail worker makes, but it’s less than the $15.53 that a median warehouse employee is paid, according to Labor Department data.

https://www.washingtonpost.com/business/economy/amazons-15-m...

Article is from 2018, but is about a wage increase to $15/hr.


Wait, so they're taking a part time pay for a year in which someone didn't work full time and dividing it by full time hours, even though those aren't worked to calculate an hourly salary below the minimum hourly salary that's actually paid?


Yeah, I wondered about the methodology there, but they provide an additional data point.


> It is mostly PR.

>Amazon’s pay is significantly above the $10.28 an hour that the typical retail worker makes, but it’s less than the $15.53 that a median warehouse employee is paid, according to Labor Department data.

It might be tempting to conclude from that amazon is under-paying for that, but it's unknown what the median "warehouse job" at amazon entails compared to the median "warehouse job" elsewhere. If the jobs at amazon is mostly low skill (comparable with retail), then it wouldn't be fair to compare to the median warehouse job that has higher proportion of skilled labor like forklift drivers.


Just anecdotally, the warehouses around here pay $15/hour for unskilled workers who do not drive lifts. In a low cost-of-living Midwestern suburban area.


Only one data point but the local Amazon warehouse I worked at for a while has a Target warehouse about a mile away that pays ~20% more for similar work. People were leaving for them in droves, including management.

I'm sure the competitiveness varies wildly in different areas though.


There's something to be said for poaching workers your competition has trained already.

The downside, especially for the managers, is that they bring their toxic attitudes with them. Diluted of course, but removing it entirely would be a huge effort.


I don't know a lot about warehouse work, and most of it is second hand, but I don't think anyone works as hard as Amazon warehouse workers. Yes, having robots deliver stuff to you is more efficient, but it sounds more like Lucile Ball in the candy factory trying to keep up with the conveyor belt.

Generally the conveyor doesn't go faster when you get faster. The warehouse robots are just working on queuing theory. However fast you go, they'll just schedule more shit to come to you.


And it’s a negative cycle. Those already budget stretched people are getting paid poorly by Amazon, so they too will shop at Amazon. We’re not there yet but the cycle is reminiscent of the factory owners with factory stores and pubs where the workers spend all their money during the industrial revolution. Unions and worker laws stem from that era. So who knows - maybe we’re on the cusp of another revolution that’s similar, but in our current digital revolution!


> We’re not there yet but the cycle is reminiscent of the factory owners with factory stores and pubs where the workers spend all their money during the industrial revolution.

Is it? Amazon employees (presumably) have the same options as everyone else. Many of those options are, generally speaking, cheaper than Amazon. Whatever your feelings about Amazon in general, fact that Amazon’s supposedly cash-strapped employees choose to pay a premium for convenience is not evidence of Amazon’s malevolence.


It’s not reminiscent of it at all. The factory stores had shitty prices and were the only option. Amazon employees can choose to spend their money anywhere. The company towns are gone.


Which is precisely my point. Amazon is forcing competitors out of business. And once they have a monopoly, history teaches us they will have no incentives left to keep their prices down, and introduce the very shitty prices you speak off. Hence: we’re not there _yet_


> Which is precisely my point.

No it’s not. Your point was completely the opposite (factory towns had shitty prices due to exclusivity).

> Amazon is forcing competitors out of business. And once they have a monopoly

They are forcing little shitty stores that have nothing to add over ordering online out of business.

They aren’t anywhere near a monopoly in any segment of the world. They aren’t even on a path to it. It’s so trivial for people to sell things online that they will never be anything close to one unless they get online sales banned for the rest of the Internet.


There was an article on the front page about how Amazon does this in some places already.

https://en.m.wikipedia.org/wiki/Company_store


My relatives come from a town of <10k people who got a Walmart around the time everyone was figuring out Walmart's tactics. They tore up the side of the road from the highway to grandma's house to install bigger storm drains, and as we know now the town usually never recoups those costs.

My aunt went to be a manager at the Walmart while everything else in town slowly went out of business. They carried sewing supplies until Franklin's went under and then they got rid of that section.

It's the same story with louder music.


See also: Walmart and its standard practice onboarding employees by signing them up to food stamps.


Why is helping employees get government aid bad? Isn't that what government aid is supposed to be for?


Because if you tax Bob who makes 24 bucks an hour to feed Sam who is making 12 then Sam is in effect working for below market wages because in a functional market Sam would never work for less money than he required to eat.

This arrangement is a transfer of wealth between the middle class and Walmart regardless of whether they opt to shop at Walmart.


In a world where Bob makes $24/hr and Sam doesn’t work (because he won’t take the $12/hr job), Bob’s probably not going to pay less taxes or be better off.


In a world where Walmart didn't post a gross profit of 24.3% for 2020[1], you might have a point.

But in a world where Walmart posted that much profit on it's $559 billion 2020 revenues[2], somehow Walmart is being allowed to tax me, not a Walmart shopper, via my taxes, and transfer it to Walmart's owners and shareholders, by forcing me to pay for part of their employees wages.

Which they clearly have the money to actually pay for.

Unless Walmart is a break-even business, there is no excuse, period, for them to not be paying a living wage and getting sponsored by the government for it.

[1] https://www.statista.com/statistics/269414/gross-profit-marg...

[2] https://www.forbes.com/sites/shelleykohan/2021/02/18/walmart...


>somehow Walmart is being allowed to tax me, not a Walmart shopper, via my taxes, and transfer it to Walmart's owners and shareholders, by forcing me to pay for part of their employees wages.

How is it a transfer to walmart? The people who get paid the benefit are eligible for it regardless of whether they're employed by walmart or not. Suppose walmart automated their jobs and replaced them with robots, you'll still be on the hook for paying those benefits.


but it hasnt. if they weren't so huge those people might be making living wages working at Bills and Jims and Franklin's sewing shop.


>if they weren't so huge those people might be making living wages working at Bills and Jims and Franklin's sewing shop.

I'm skeptical of this. If anything amazon's push for minimum wage makes me think they're better able to afford the increased cost of labor than their competitors.


Gross profit is profit before paying their employees, so saying they have a gross profit percentage of X is certainly not dispositive (and is close to meaningless) in terms of supporting whether they could pay their employees more than currently.

You need to look at an operating income figure to make such a conclusion. (Or another financial measure that’s “after” labor, but OI is probably the standard one.)


If Walmart makes 1 single cent of profit while having employees on food stamps, then that is the government sponsoring Walmart's profits by allowing it not to pay it's employees a living wage, and banking the difference as "profit".

They are literally taking your tax dollars to do this.

This is the simplest possible economic calculus: a business that doesn't pay full time employees a living wage is getting sponsored by your tax dollars for its profits.


It is to stop the employees from wondering why their wage does not cover their living expenses.


> The "just stop buying amazon" arguments never made sense to me in the first place, because most people who use it are the ones budget-stretched in the first place. A lot of rural communities have no other viable options for some items as well.

This is all bullshit. Walmart is still the cheaper price for groceries and most general goods (at least in my experience living somewhere rural). Amazon is purely convenience at an OK price.


Any rural community that has a trade deficit with the outside world slowly spirals into poverty. Buying local increases the number of times a dollar travels around the community before leaving.

There's a huge useful area between giving Amazon less power and giving them no power. Amazon is always the 4th place I look for something. Most of the time I never even have to go there. And things like their little tantrum where they stopped selling a bunch of Apple products just made that easier for me.

Also remember the audience. Most of the people who can't afford to shop anywhere but Amazon also can't afford to hang out on hacker news. Most of the people here can do better.


I’m always curious about the cost of labor, and the breaking point for AI to be a solution to that. I’m thinking mostly autonomous robotics to pick, pack, and ship the products, make the burgers, and heck probably restock the shelves at night.

I also ask that Because I think humans are losing. The big one will be autonomous trucking. Once that hits, I think we’re going to see massive layoffs and unemployment, as robotics replaces humans.


> The "just stop buying amazon" arguments never made sense to me in the first place, because most people who use it are the ones budget-stretched in the first place. A lot of rural communities have no other viable options for some items as well.

They've become the new Walmart, they killed off all other options so now its the only place left for a lot of people.


> they killed off all other options

Is it that difficult to imagine the amount of value it created for those communities, too?


Walmart is known as a town killer, Amazon is an industry killer.


The "big town" (8000 residents) near my town (2500 residents) rejected Walmart on these grounds 25 years ago. The town that accepted Walmart has grown tremendously whereas my big town has 14 empty storefronts on the two main streets which is about 25 percent of the walkable storefronts. It's probably a confounding factor more related to my town's resistance to change and growth than the fact that Walmart isn't there but that's my anecdata.


Another anecdote: Walmart moved into our rural town around, IIRC, 1980. The population chart takes a large upturn around that year. It was about 1000 then, and it's over 3000 today. It certainly didn't kill that town. Walmart even moved locations closer to the highway into a bigger store, too.


> Is it that difficult to imagine the amount of value it created for those communities, too?

"Value creation" generally reveals itself through a rightward shift in the distribution of household incomes, increased standards of living, and resilient supply chains. At least that's what Adam Smith had in mind when he wrote "The Wealth of Nations".

If the only "value creation" KPI that ticks up is corporate earnings in offshore tax havens, the system starts to look like a non-governmental tax authority.


There's 152 other families to work as scabs for each striking worker. I worry all of this won't be resolved until the next State level paradigm shift, like when the world mostly did away with kings and queens for liberalism.


> …the next State level paradigm shift….

I’d be interested to hear your thoughts on this point.


Take a listen to James Burke chatting with Dan Carlin. A better job than I could do -- https://www.dancarlin.com/product/common-sense-312-re-connec...


The vast majority of those other workers won’t be flexible enough to be able to just drop and work for Amazon.

This is a problem inherent to neoliberalism, you’re right, I’m just not sure I’d agree that it requires a nation state level shift in politics to make Amazon pay their fare share in taxes and wages.


No, but it will be a constant struggle when companies are incentivized to infinitely reduce costs and their political power far outweighs ours. Significant tax and minimum wage increases are almost a generational event at this point. Those are features, not bugs of our system.


Are there no federal corporate taxes? Or would the US be discluded since it's not a nation state?


With the correct arrangement of holding companies, etc… in various countries around the world, corporations usually get away with paying virtually no taxes themselves. They might have to collect local sales taxes or some such, but going through Ireland, the Netherlands, and various other tax havens, the company itself pays effectively no taxes. And that’s assuming they choose to make a profit. Amazon intentionally makes virtually no “profit”, because they take the revenue that would otherwise have become “profit” and spend it in a way that counts as “re-investing”.

So, Amazon shows billions and billions of dollars of revenue, but relatively little profit. And it’s only profit that would get taxed at the federal level.


> would otherwise have become “profit” and spend it in a way that counts as “re-investing”.

Yes, so that’s not profit anymore. What’s the problem?

Would you prefer that businesses be taxed on revenue and not profit?


It is a problem in where that money is going and being spent on. If they are truly investing, no problem, but if they are "investing" into, for example, buying there own private islands to vacation on under the guise of business, lambos for company cars, or boosting stock prices they already own, they aren't helping or supporting the economy they are extracting wealth from. And it should be taxed just like if I personally bought an island or 50 pounds of gold jewellery or a supercar.

Just because a company buys and owns something doesn't automatically make it an investment that shouldn't be taxed as profit.


> buying there own private islands to vacation on under the guise of business, lambos for company cars

well you'll be glad to know that these are not what's being spent on - because if they did, it'd be an open and shut case from the IRS.

But

> boosting stock prices they already own

that is not considered investment, and i do not believe a company can avoid paying tax on profits used to perform this action.


> there own private islands to vacation on under the guise of business, lambos for company cars

That’s not even a thing. We’re not living in an Austin Powers movie.

> or boosting stock prices they already own

Who is “they” in that sentence? Do you know how public traded companies work?


Amazon is Amazon because they didn't let size dull their edge.

Unfortunately, that cuts both ways. There are a lot of ways to be exploitive, to your and your customers' benefits, when you're a $113 B revenue/quarter company, that simply aren't available when you're a startup.

Hell, Walmart pioneered the "How'd you like to sell in our stores?" + "You need to reduce prices, or it'd be a shame if we, your biggest customer, had to drop you" two step. And Amazon pioneered hyperscale logistics efficiencies. Both of which only work if you're giant.

If we want a return to competition of yore, I think it's only going to happen if we (a) prevent "extra-large" companies from having in-house logistics & (b) prevent predatory contracts and pricing when a size disparity exists (e.g. Walmart/supplier).

And given both of these are pretty fundamental to the way many companies work, I'm not even sure they'd be feasible.


> Amazon pioneered hyperscale logistics efficiencies

Actually, I believe that was Walmart as well: >TIMMER: I used to ask my class, I’m talking 1985, “Where is the world’s largest supercomputer?” And the correct answer was, “It’s at the Pentagon.” Okay. “Where is the world’s second largest supercomputer?” Bentonville, Ark. Home of Walmart. They used that computer to track every single item on every single Walmart shelf. That information technology is what revolutionized food marketing. And it was pretty much invented by Walmart.

Source: https://freakonomics.com/podcast/farms-race/#:%7E:text=where...


Ironically Barnes And Noble was also a significant computer user in the 80’s and 90’s. They put a lot of local bookstores out of business with superior inventory, prices, and generally being data driven. Then they were one of Amazon’s first casualties!


I frequently shopped at Barnes & Noble ~20 years ago. But they slowly carried less and less that I was interested in, seemingly shifting from a "store for people who like books" to a "store for people to buy gifts for people who like books".

At first I placed online orders with them, but once moving to online shopping at all, it was clear that Amazon had even better selection, prices, shipping, etc.

But I still enjoy a good physical bookstore. I might still shop there in person today if their stock was more interesting, even if the prices were a little higher.


Chapters/indigo in Canada is like that. Half the stores are gift shops for socks and blankets etc. They removed all the tables and chairs they had 20 years ago for you to read at. At least they still exist though, all 4 used bookstores (plus one chapters) near where I live have closed down


> Half the stores are gift shops for socks and blankets etc.

Yeah this annoyed me to no end, however after a few shops I realized the only reason these are even open right now is because of the high margin gift section. Check the prices on their plushies when you are there. $35 for a small rabbit! and people buy them.


That's the GE-ification of retail.

Yes, you should allocate a larger share of scarce resources (in this case, floor space) to high-margin product...

... but not at the expense of the central thesis of why customers actually come to your store.

B&N was able to sell high margin gift shop items because traffic was already there as a bookstore... and there as a bookstore because they had reading areas and a coffee shop.


I buy books by the bushel from thrift stores. Can't beat those prices!


Tsutaya bookstore in Japan is the best example of such a place. They also expanded to a few neighboring countries as well. I think it's one of the best big network bookstores I had been.


My first interaction with Amazon was as the storefront for Borders Books online (since out of business). Interesting case of EEE.


The pattern is that efficiency increases and hyperscale fell the previous incumbent. If the pace of innovation doesn't slow, Amazon may fall to the same forces.

Imagine a virtualized army of engineers that the AI or brain upload future may bring. Maybe that won't happen in our lifetimes, but it will happen at some point if we don't manage to nuke ourselves.

There are probably a handful of other trends that will cause instability and salients to develop in the fitness gradient.


That sounds scary - a company even more powerful and competitive that could beat Amazon. Imagine what their abuses would be!


> Then they were one of Amazon’s first casualties!

They're still in business. I browsed one last month. I was amused that one entire rack, 6 shelves, was filled with "Trump is Evil" books. Somebody at that store doesn't like Trump :-)


I want to quickly emphasize that they are data driven enough to understand that lots of people buy those books because about 51-54% of the country doesn’t and never did like him.


The last barnes and noble I went to had a liberal shelf and a conservative shelf (not labeled as such, but clearly separated). I live in a county that biden won by <1%. It's clearly a data-driven decision and both sides of the aisle love buying books from their tribe.


But who are those books for? I don’t buy books about politicians I don’t like.


A non-trivial number of people do across the political spectrum. Political memoirs for instance are usually ghostwritten (outside of the first Obama book and maybe the Pete book given he was a nobody) and are only purchased in order to show support for the candidate. It's a team spirit thing.

Plus, I'm sure some have their own niches (satire, exposés like "Frankly we won this election" that have new reporting, etc) and many have their own historical value. I saw an ant-Tom DeLay book in the wild a few years ago well after his fall from grace and considered buying it just as a keepsake of the era.


No, not books meant to paint politicians in a good light. I’m talking about these “orange man bad” books. Why would I want to spend hours of my life reading more details about a man I don’t want occupying my mind?


I do. "Don't like" is not the same as "not interesting".


I read a couple months ago that publishers were being pressured not to publish books by Trump insiders.


Yeah, and that probably didn't stem much of the flow because the rest were published by journalists. If anything some of the insiders' accounts were just as scathing as the explicitly anti-Trump books, which is saying something.


Same here - went into the shop for the first time in a few years about 3 years ago, and was shocked to see two rows of "self-help"-type books. Amazing. It seems many people have outsourced our friends and familial support structures to random writers.


Um the pentagon didn't have the world's largest supercomputer, and neither did walmart. walmart wouldn't buy a supercomputer to do logistics, as supercomputers are super expensive for modest speed improvements and you didn't need them to do supply chain optimization, and anyway, product tracking is a DB problem, not a supercomputer problem.

What's sad is that there probably is some interesting IT story behind Walmart scaling, but not using supercomputers and using PCs or somethign instead.


In this context it sounds like supercomputer would more analogous to mainframe.


In 1985, they did have mainframes at the Pentagon. But they dated from the 1960s.

My first job out of college in 1989 was to go to work in the basement of The Pentagon for the Defense Communications Agency, as an Analyst/Terminal Operator for those old pre-Multics Honeywell WWMCCS mainframes. One of my first jobs there was to help modernized the classified Airfields database from COBOL 66 to COBOL 77.

At the beginning, we used glass tty terminals that were wrapped in faraday cages, and all local printing was done via a screen print function to local thermal paper printers. We could use the line printers, but those were not directly accessible to us, and we had to go up to the Operator window to ask for our output.

They later upgraded the terminals to EMF-hardened IBM PC XT computers with removable 5GB hard drives, known as WIS-CUC terminals. That was like 1991. Note that this was PC XT technology from like 1984, not PC AT.

The unclassified PC AT type computers we used outside of the classified environments probably had more RAM, larger hard drives, and more I/O capacity than those ancient Honeywell mainframes.

So, no, there weren’t any supercomputers at the Pentagon in 1985.

Now, if you want to talk about NSA headquarters at Fort Meade, then that’s a different story.


It would be funny if everyone thinks they used this sophisticated technology or supercomputer when in reality it was just someone with an excel workbook at ton of vba code

/s


An Excel spreadsheet with VBA would have been a huge improvement. I figure the Pentagon probably did that about twenty years later.


Don’t forget that Amazon still needs almost $200 billion more in revenue to beat Walmart. They have $550 billion in revenue and don’t have something like AWS.

Amazon has only recently pioneered last mile logistics. It still isnt that great. I’m in a large metro area and 25-50% of my packages do not meet the prime delivery dates. I’d argue Walmart is still the king of logistics, for now.


Out of all the retailers I have experience with, the pandemic winner was Walmart (Canada) hands-down. They kept iterating their app and pickup experience (order via app and they put the groceries in your trunk) .. I am an extremely satisfied customer and have increased my spend there!

Losers for me were Home Depot and Canadian Tire. They iterated slowly and when they did, made things worse it seemed.


Opposite experience here. Walmart is always a drab experience. I have never been in a Walmart store that I felt good in. Some Walmart's beat others in how disgusting they are but that's about it.

Home Depot on the other end was great. When there was a shortage of disinfectant (and government mandated clean hands before allowing people into stores) they just added actual washing basins with regular soap and paper towels and I could go get stuff to do projects. I have never been to HD as often as during 2020.

I used online ordering literally once at HD and CT each during that time. HD made me call/text a number with my order# when I arrived and they brought the items out for me but I really only used that because something was low stock in the one of many HD stores I could go to that had any of the item at all and I wanted to "reserve" it. No app needed which is a big big plus for me. I abhor all these apps for everything.

CD wasn't bad either. Same deal, reserving an item with low stock until I could go get it. I just picked it all up at the online order desk where it had already been put in a cart.

I don't like ordering food online. Had to do it once while waiting for a negative covid test result. You don't get to pick the actual items you want (fruits/veggies). Not great. I already don't like how cashiers throw your sensitive veggies around all the time. Never mind how they're being handled in the rest of the chain. Before anyone asks, yes I do choose which line I choose by who is the cashier/packer over length of line.


Varies by locale.

Walmart doesn't "try" where they have to compete with upscale options because even if they do good the rich people will still shop there.because of the Walmart stigma. And the poor people only care about price so they won't be turned off if Walmart doesn't try hard.

Also, there are some really crappy Home Depots out there. In my experience they're the ones without appreciable competition.


I'm not a frequent Walmart delivery customer, but my impression was they didn't take buy-online/ship-to-home or buy-online/ship-to-store seriously until the Jet acquisition. Which Walmart bought in 2016?


So Walmart Canada's pick up seemed to develop in front of my eyes. At the start of the pandemic, there were almost no spots and they screwed up a lot. E.g you'd get half the items you ordered, wrong items, would not get pick up order ready in time, fee on orders, etc. Whoever ran the show, executed brilliantly. It kept getting better. A relative scoffed at my high praise, and I convinced him to try it .. he too was blown away. I bring this up because so many Canadian retailers acted stupidly and frankly, many old school businesses keep doing this all the time (looking at you Costco .. Costco seemed to have pretended the pandemic did not happen .. they did not develop a touchless pick up model at all, and their online prices seemed to always be higher than the store price .. cancelled my membership there).


To be brutally honest: What does "touchless" mean here except clever marketing that plays off fears about Covid?

If anything more people touch your items in this system or its on par. Sure there's no cashier/packer touching your items at checkout. But the equivalent has to happen internally. I have no idea how it actually works but I gather since most stuff goes directly into the store and not the warehouse someone walks through the store and picks the order like you would exposing themselves to the Covid risks and then potentially someone else packs it all up and yet another person delivers it to your car as this happens asynchronously and there might even be a shift change in between.

FWIW my Costco didn't pretend the pandemic didn't happen. I still sometimes have to wait to get into the fruit/veggie or dairy coolers, with someone making sure that not too many people are in there at the same time. They applied the limits intelligently (only allowing one person per membership into the warehouse at all at a time when the government limits were very low) so as to allow more people to shop without having to wait outside for ages (which happened in the first 'panic buying stage' of the pandemic). They have less produce in the cooler too to allow more space for passing (even to the detriment of the produce. I just don't buy some stuff any longer as its no longer cooled and there are quality issues). They also rearranged some other stuff to make it easier to access without bumping into each other. None of the other stores I have been to have done this at all.


Amazon revenue for last 4 quarters is: ~$440bn (96 + 126 + 108 + 113) so only just over $100bn away. At current growth rates, it seems like they may get there next year?


A pandemic year is not a normal year. Everyone ordered online by necessity and Amazon is the de facto online retailer. Brick and motor was hit harder last year.


> If we want a return to competition of yore

I think we're beyond that now. I really do.

We thought we were going to get Weyland-Yutani, but I think we're going to end up with Bezos-Walton instead.


I don't want a return to having to go to a million little overpriced stores sending me stuff with 2+ weeks shipping in the name of competition. Seems like Wal Mart is gearing up to compete with Amazon anyway.

The only government responses we need here are better labor laws and maybe a few tax code changes.


Why do you accuse them of suppressing wages when they lead the way to $15/hr, and when they literally spend money lobbying congress to raise the federal minimum wage?

https://www.businessinsider.com/amazon-15-minimum-wage-lobby...


Because they participate in union busting?

https://www.washingtonpost.com/technology/2021/03/09/amazon-...


Because if they don't, it's the end? You can't seriously expect corporations to welcome unions?


Unions are not “the end” for corporations, that’s a false dichotomy.

And I’m not at all expecting corporations to welcome unions, I’m saying unions need to fight for it. But that requires people believing in unions again.


Why not?


Because unions offer literally no upside for companies. They are meant precisely to organize the collective power of the employees to pressure the company into deals with its employees it wouldn’t have otherwise.


One upside for companies is that the unions are better able to represent the interests of the employees than, for example, the HR department would be able to, simply because of the incentives at play. This could attract more talent to the company, improve retention, and give the company more insight into the employees' needs.


only in theory. in practice unions become just like other orgs where leaders concentrate power for themselves and fail to represent anyone at all. making the situation worse for the employee and the employees.


If that's the inevitable fate of all orgs then why bother creating any kind of society at all?

I can agree that unions concentrate power in imperfect ways, but personally I still think they are an overall improvement on the non-union status quo.


> unions are better able to represent the interests of the employees than, for example, the HR department would be able to

Employees are really good at complaining (at least in the US). Management that is interested in knowing what bothers employees definitely knows without a union.

> This could attract more talent to the company, improve retention

Paying more money works even better. People choose better paying jobs pretty consistently even if it means dropping the union.


> Management that is interested in knowing what bothers employees definitely knows without a union.

Sure, but unions are good at motivating management to care.


Long ago, there were 2 companies - one welcomed unions and the other stopped unions. The one which welcomed unions lost it's profit margin and the other "predatory" company kept it's profit margins and grew more aggressively and put the "good" company out of business.

After that entrepreneurs learned that you need to be ruthless to win in capitalism. Don't get me wrong, I support fair wages for all employees, no matter what they do. But in real life capitalism, only the most ruthless companies win (FB, AMZN), unless they have an amazing product (e.g. GOOGL)


If you truly supported fair wages then you’d support collective bargaining.


I'm not sure GOOGL is any less ruthless, they where certainly not above illegal wage fixing.


I'm not happy about that, but what bigcorp doesn't try to bust unions? Certainly Walmart does it too, so that really seems to just be an instance of Amazon merely matching their competitors' abuses.


> but what bigcorp doesn't try to bust unions?

I know it's slightly off topic, but in some areas of Europe it is considered essential for any big employer to have a healthy union. The employer encourages unionization, and there are certain benefits for them too.


Remember when there was a unionization vote at a Volkswagon plant in Tennessee, and VW was like, "please vote yes, we like working with unions and believe it'll make everybody's lives easier". But state and national politicians, not to mention outside lobbyists, created a huge campaign to oppose the vote? And then the "no" campaign succeeded.

You can't make this stuff up. But it drives home the reality that anti-union sentiment is strong in the U.S.; and deep. Most non-skilled workers in this country are very skeptical of unions, if not outright cynical. And it's always been this way, going back to the 19th century.

IIRC, there was a second vote at that same plant a little later. That time VW HQ just kept their mouth shut. And they loosened the leash on their American managers, who mostly opposed unionization. Obviously it failed again.


I absolutely agree with you, they all do it, because all major corporations suppress wages, because there’s no real consequences for it anymore.

“If the only punishment is a fine then it’s legal for the rich” or however the saying goes.


I think almost all large corporations are abusive and will bust unions to maintain their dominance, it’s still unacceptable though


That just means everyone is suppressing wages to some degree. The whole class thing, you know.


Amazon has committed the "sin of success", so they're in the spotlight. Criticisms of Amazon make sense when viewed as criticisms of laws and incentives all business operate under.


Then how is it that I consistently hear about how Costco treats its employees phenomenally? Amazon's revenue surpassed Costco's in 2016, so if it is merely success that gets criticized Costco should have been similarly before that point. But that's not the case, and both Amazon and Costco have had their current reputations for much longer than that.


Costco is certainly the exception.

You could alternatively compare to McDonald's?

Pepsi?

Facebook?


That’s a fair point. I see them as suppressing wages because they open warehouses in small towns, pay $15/hr and then work the person to death so they become dependent on that job. Amazon can totally dominate an area’s workforce and use that to drive wages and benefits down.


This argument sounds entirely theoretical. Do you have an example of even one small town where average or median wages or benefits were decreased as a result of Amazon?

I frequently encounter armchair economists on the Internet making sweeping claims about various, but it is frustrating. It takes basically no effort to think up something plausible. But to take even the first step towards empirically verifying a given hypothesis is an enormous amount of work. Without even a rough empirical foundation, how valuable are these armchair theories?

A little dated now but the Economist had a little mini-article about Amazon and wages. Really highlights how difficult it is to draw any definitive causal links, as well as trade offs (like benefits and unemployment): https://www.economist.com/united-states/2018/01/20/what-amaz...


bloomberg had an article along similar lines late last year. The main hypothesis isn't terribly controversial to me, amazon lowers logistics wages since it pays less than the traditional players, and has sort of the 'business gravity' to immediate move in and be a significant employer. I would not call that suppressing wages on its own.

Amazon's argument is that they aren't driving wages down, they are raising them up because their employees are not from traditional logistics, but most retail and service jobs, again, on its own, probably more right than not.

That's the thing I think is hard to separate, and I want to know more about. These industries feel threatened by amazon, so where is that coming from? Is it all just business muscle and monopsony, or is there genuine disruption (even in something that relies on amazon's scale)? Sort of a competitively 'legitimate' advantage. And I would say that you can definitely discuss if they are externalizing societal costs with how they treat employees.

It's not a direct comparison, but I think about the crafts that were overtaken by factories. I think it can't be that simple, but amazon clearly changed the labor dynamics, so what did it do and how did it do it?

https://www.bloomberg.com/news/features/2020-12-17/amazon-am...


Yea, if the argument is that amazon drives wages lower because Amazon took a skilled job (forklift operator) and turned it into an unskilled job anyone can do, then I agree with that premise.

I just think it is misleading to call that wage suppression as that is not how the term is traditionally used. Operating a loom probably does take less skill than knitting fabric by hand, but that's not wage suppression; that's just creative destruction.

With that definition of wage suppression, pretty much every app, piece of software, or other innovation is suppressing wages.


> forklift operator

I get where you're coming from (there are other logistics-related specialty jobs), but i've heard that Amazon designs their warehouses around not needing forklifts (except in very few areas0 since they're incredibly dangerous in general.


> Do you have an example of even one small town where average or median wages or benefits were decreased as a result of Amazon?

A couple of quotes from https://www.nytimes.com/2021/03/18/business/economy/amazon-w...

In making the case against a union at its warehouse in Bessemer, Ala., Amazon has touted its compensation package. The company notes that base pay at the facility, around $15.50 an hour for most rank-and-file workers, is more than twice the local minimum wage, and that it offers comprehensive health insurance and retirement benefits.

But to many of Amazon’s Bessemer employees, who are voting this month on whether to unionize, the claims to generosity can ring hollow alongside the demands of the job and local wage rates. The most recent figure for the median wage in greater Birmingham, a metropolitan area of roughly one million people that includes Bessemer, was nearly $3 above Amazon’s pay there, according to the Bureau of Labor Statistics.

But other workers emphasize that pay at Amazon isn’t particularly high for the Birmingham area, even if the pandemic has reduced their job options.

The retail workers’ union said it represented employees at nearby warehouses where pay is $18 to $21 an hour, including an ice cream facility and a grocery warehouse not far from Amazon.


I think these are interesting points (though a union in a standoff with Amazon isn't a great source for information), but I don't find them very convincing

For example, it is not surprising that amazon warehouse workers, an unskilled job with minimal required training, make less than a median wage. For example, the average salary of a warehouse worker in Los Angeles (where I live) is $38k/year. The average salary of a paralegal is $45k/year. This is unsurprising. I am not saying that warehouse work is easier than paralegal work, but I am saying that this phenomenon has nothing to do with Amazon.

Further, it is worth noting that Amazon Warehouse jobs are unlike most many other warehouse jobs. Being able to use a pallet jack or forklift is a skill and that workers with those skills can command higher wages than workers without those skills is again unsurprising.

I think it is hard to objectively analyze the situation by taking talking points from a union in a confrontation with Amazon. $18-$21 with what kind of benefits? For what kind of labor?


Important to note: the vote result was already tallied to not unionize


In Road to Wiggan Pier, George Orwell wrote that the worst housing available to people weren't the major corporations or business that owned numerous properties, but the petty landlords. The ones who barely could afford upkeep. We also noticed that after the Land Consolidation Act in Britain that food outputs shot up enormously so as not to waste peoples time being minor farmers who toiled a lot for little in comparison to major institutions that could create much larger outputs at a fraction of the effort.

What I'm getting at is, small towns and the like tend to be dominated by petty landlords and what have you. Or someone wealthier elsewhere that can fund endeavors there because they can't where they live. The unfortunate aspect is like the events George Orwell stated. Lots of rundown or lesser paying places.

The notion that consolidation of markets is somehow bad because it drives down people's autonomy has been around for ages and all we've seen time and time again that it actually benefits people more often than it doesn't. You don't have to worry about crop yields, you worry about a boring office job. You don't have to worry about house maintenance, just who to call to fix these complex things. It allows for people to specialize in fields instead of making a population of "Jack of All Trades." The latter make for a better system when you're predominantly agrarian. The former is better when you've got a system so complex that you need people to hyper specialize in something specific so they don't have to worry about other minutia work.


I could get behind some of this but we have to keep some things separate.

Specialization is great. Economies of scale make certain things possible. Awesome. That doesn't mean you have to consolidate power for each of these things with just one big overlord.

I don't agree with the house maintenance for example. Many many renters have a really hard time to get their landlords big and small to fix things. Or make them nice. And you can't do stuff on your own. Want a mini split AC/heat exchanger? Gotta ask the landlord. A large corporation that doesn't want to do this or even listen to you. They'd have to install this for the entire apartment block if they do. A large expense. Now you gotta get all the 50 neighbors to petition as well to get anything moving. And the corp knows they gotta increase the rent if they do this for you but then you will complain about the rent increase later. The same can apply to individual petty landlords abviously.

As a homeowner I already can make use of the benefits of specialization by calling on someone that specializes in HVAC to help me choose whether a mini split makes sense, which models are out there, install it properly etc. Or I can do parts of this, like the research myself or even the installation if I have the expertise.


One more reason to decouple Americans healthcare from their employment ... and yes, I am a broken record =)


> then work the person to death so they become dependent on that job.

Any evidence for this? Especially in COVID times when there's massive unemployment checks programs, if that were remotely true nobody would be working for Amazon right now.


Most Amazon warehouse employees will attest to how much you're tracked in terms of performance numbers and how taking micro breaks[0] is discouraged or punished. And $15/hr is still generally more than most employment, with the state average maximum individual unemployment being $2042 a month [1] and Amazon paying minimum $2600 a month (in terms of full-time), which might make or break the bank for many Amazon employees.

0: https://ehs.stanford.edu/subtopic/microbreaks

1: https://savingtoinvest.com/maximum-weekly-unemployment-benef...


> Most Amazon warehouse employees will attest to how much you're tracked in terms of performance numbers

What is the turnover rate? Because if you hate your job every single day no amount of money will make you stay.


https://www.nytimes.com/interactive/2021/06/15/us/amazon-wor...

> Even before the pandemic, previously unreported data shows, Amazon lost about 3 percent of its hourly associates each week, meaning the turnover among its work force was roughly 150 percent a year. That rate, almost double that of the retail and logistics industries, has made some executives worry about running out of workers across America.


then is there any issue? it means workers find better opportunities or better conditions elsewhere.


1. No it doesn't.

2. Even if we assume it's true, "better" does not mean acceptable. Imagine a town with no amazon that only has terrible jobs available. Amazon moves in, some people try working there, the job is so awful that they quit and go back to the other jobs. Those jobs are still terrible. There's very much an issue.


for 2. I am not sure why you would blame Amazon if it seems rather like a general specific employment problem in said area. Amazon is not responsible to fix everytjing around them are they?


It's not their obligation to fix everything around them. But if amazon's work environment is awful, people quitting it doesn't absolve them of anything. It's still an issue, whether people manage to escape to something better or not.


They don't drive down hourly wages, they drive down wages per effort and health cost.


It is far better for them to offer $15, rather than employees demand $20. Their actions are strategic. Enough to keep the heat off from Union and Labor representatives, but not enough to affect their bottom line.


Does that include their contractors ? Or the “gig economy” delivery style workers they try to trim all the fat off of? The only thing they lead the way on is new ways to package their poor behavior.


Yes. It does.

https://www.ridester.com/how-much-do-amazon-drivers-make/#:~.... https://www.indeed.com/cmp/Amazon-Flex/salaries/Independent-...

There are many things Amazon could improve but unfortunately this is the most blatantly incorrect argument that is repeated the most.


Is it because they can crush small business who can’t afford to pay as much through regulatory capture?


> Employees are horribly treated, wages suppressed

I never saw the definitive source on this, but around the time when the unionization vote was happening, people claiming experience in the logistics industry described Amazon as a place with low starting wages, but aggressive bonus structure for high performers. They also offered health benefits on day 1, which is unheard of in logistics.

Other warehouses in the area might have different compensation schemes, and people would generally gravitate to the one that suited their work style better.

The unionization vote seemed like it corroborated this thesis - it wasn’t even 52/48, but something definitive, like 70/30 against the union.

Perhaps someone is aware of the data that incorporates take-home compensation with benefits and all, not the base rates advertised in job ads.


> high performers

It could be random and it will still work. You want to pay a few people fairly so the others fight with them for that positions. Workers fighting workers is the goal of this incentives, it had nothing too do with performance.


Rewarding a select group of high performers is a great way to underpay overall. You sell the idea of a bonus, but bonuses get easily taken away, and only go to a few select individuals.

I don't think Amazon "underpays" per say - but the working conditions described seem quite poor.


This is only tangentially related to your post at all, but as a budget-conscious shopper, I've come to realize that in America, there is usually a retail shop or two locally that consistently has the best deal for a category of things. Don't get me wrong, I still have to buy from Amazon for a lot of really miscellaneous things, but I think I manage to find good local deals (better than Amazon in most cases) for most category of items I buy, more so than most people. You just have to put in the work to do the research to find where those are (a lot of times that's about going to all these stores often enough that you get an understanding).

In your example of sneakers, Adidas/Footlocker/Dicks are not the places to go for me. Here in California there is a store called Big5 Sporting Goods that consistently has incredible prices (on sale or not). In the past decade I've pretty much never bought shoes anywhere else; most sneakers or hiking shoes I've bought are under $35 and they are the most comfortable shoes I've tried anywhere. There may be a similar store in whatever state you're in.

For clothes and some home goods items, similarly I wouldn't go to brand name stores at the malls; Ross and Marshall always have the best deals. For random home goods, Daiso (an Asian/Japanese brand store) which, fortunately for myself, has a lot of stores in California, has tons of super affordable options, as it's basically a Japanese dollar store. Then there are random things that Target has the best deals for; and other random things that Walmart has the best deals for (I know, buying from Walmart is not much better than buying on Amazon).

My main point is, you don't always have to resort to Amazon for budget, you just have to do enough research work to find out where else to go.


It always pays to shop around, and I've actually shifted more of my business to ebay for items that are quite clearly the same cheap chinese product with X name stuck on it. Amazon doesn't reliably hit its two-day shipping mandate for me, and USPS can often beat them for smaller items.

One thing I have noticed and don't really understand: Sellers who's products are more expensive on their own site than on their Amazon page. I could understand parity, but I don't understand it being more expensive to purchase from them directly.


Amazon is a marketing channel. They want more sales on Amazon, which in turn drives more volume, even if their take is lower.


I have the same feelings. I'm really fine with Amazon -- but I'd be much more fine by seeing them reduced via antitrust actions, with the goal of seeing more competition.

First, I'd like to separate AWS from Amazon the Bazaar. It's just too much control over _both_ the Internet (including all other e-commerce) and retail merchandise commerce.

It's like they own the railroads, the ports, the trucks, and the stores -- we've seen the Robber Baron movie already.


I understand if we hoped antitrust action on Kindle (since they fought dirty and illegal against Barnes and Noble.)

But both AMZN "bazaar" and AWS are novel concepts invented by AMZN, and they have worked really hard to make them reality on such unbelievable scales.

Nobody thought of AWS for decades, until AMZN faced the systems problem and came up with cloud computing via AWS.

I understand taking action on AMZN acquisitions since they are reducing competition illegally. But AWS is an absolutely novel idea by them, and in my opinion, we have no right to take any action there. Also there is a LOT of competition in cloud computing by AZURE and GCP


So what's the damage for AMZN if it were split? The shareholders are going to be massively rewarded by that (including Bezos).


I'm increasingly put out by Amazon and am trying to stop the habit of shopping there. I like books, and Amazon was founded on books, but the way they ship books now (typically loose in a soft envelope or mostly empty box) means that >50% of the books I've ordered recently have arrived damaged and had to be returned. They used to shrinkwrap books to a cardboard plate inside the box.

There are other problems: 1) Search is just terrible. Often I have to search in Google to find the product I'm looking for at Amazon. The "other people bought/looked at these items" functionality which partially made up for bad search has been pushed out in favor of sponsored products (i.e. ads).

2) Shipping is only fast and cheap if you get Prime, which basically means paying for your shipping in advance and buying constantly at Amazon to amortize your initial investment.

3) Because Amazon no longer actually controls its own catalog, duplicate listings, misleading listings, merged listings that amalgamate multiple different editions of the same book, etc. abound. e.g. search for "Norton Anthology of English Literature". Instead of a neatly sorted list by volume/edition/condition, you get a whole mess of duplicate/overlapping listings, and also misleading garbage like this (shows 3 books but you only get 1 of them): https://www.amazon.com/Norton-Anthology-English-Literature-P....

I'm shifting towards just using Amazon as a 'wishlist' shopping cart and then finding the actual thing to buy elsewhere.


This times a million. It irks me to no end that they ship books like they just D.G.A.F. I get them loose in boxes with other things, in soft envelopes, and always, freaking always, with bent or dented corners.

That's your one job. Ship me the thing in new condition, and you can't even do that. How much is that even saving them on packaging? A nickel? It's disrespectful and greedy, and it's a sign of how awful they really are. You can sell things cheap and be efficient without being trashy.


I have also been annoyed by damaged books and is one reason I avoid Amazon. I've had them arrive damaged from specialist online book stores as well, but not as often. The only way to avoid that is to go to the book store and inspect the product first (which I do on occasion).

They don't seem to be damaged in transit, usually it looks like they have been dropped or badly stored.

I always price check Amazon too, quite often it is not the cheapest, and you can get caught out on shipping costs as you say.


You couldn't read these books? Or you couldn't show off that you owned them?

How do you lose a page from inside of a box/envelope?


Consider a category of item you care about. Would you accept it if it were sold to you as being in new condition, but arrived with substantial cosmetic damage? A dining table with a gash down the middle of it still holds food just fine. A white door spattered with red paint still opens and closes and keeps the wind out. Carpeting stained with wine still keeps your feet warm.

Often, in any case, the damage is more than cosmetic. A paperback book that has been badly creased is more difficult to read than one that's in good condition.

Caring about the condition of books is not a strange idiosyncrasy. There's a clear stratification in the price of the book market as you descend from new to very good to acceptable condition - because buyers generally care.


For people who buy physical books, there's a lot of pride of ownership and enjoying the look and feel of the thing, as much as actually reading it.

I'll never forget lending one of the few books I bothered to keep physically to my wife who immediately trying to crack the spine on it to have it open the way she was used to.

The majority of the books I read are digital, though, and have been since PDAs were invented.


The reason why I'm personally okay with buying stuff from the Everything Store is because [1] retail is a brutal business, [2] _everyone_ in retail (except perhaps the executive leadership) is treated like shit, and [3] Amazon, for all of their failings, is still absolutely obsessed with customer satisfaction.

Amazon is still one of few companies that has a completely seamless, no-BS return policy, for example.

The "sensible" alternative is to shop direct from small businesses, which I do sometimes, but see [2] from above.


> no-BS return policy

also no fee - the fact i can buy worry free knowing if its not as described/trash/broken i can just send it back at no cost is why i use them. don't know any other online store like that


Other than shipping damage, I don't regularly get misleading or broken items from other retailers, especially small ones. This only happens with third-party Amazon retailers, who mostly sell trash and hope you don't care enough to return it because it was so cheap.


It's rare, but I did, back when I regularly ordered from other places.

I also regularly didn't get things on time. And I don't mean a day late, I mean "hasn't even shipped yet by the time it should arrive" late, and without even a notice.

What really sold me on Amazon was game sales, though. I'd pre-order something at Walmart or Gamestop and show up on release day to find out they didn't get it. This happened enough that I finally just ordered it on Amazon instead and hoped it'd work out. It not only worked out, but it had great tracking so I always knew what was going on. I had maybe 2 games be late from Amazon in all the time I ordered from them, and at least one of those was weather that stopped the planes and would absolutely have affected GS and WM, too.

From there they introduced the 2-day shipping and the rest was history.


Yeah, Walmart, Target, and basically any large reseller is excellent when they have the inventory in their warehouse. Once you use them for drop-ship (which they aren’t transparent about…at all), orders will get dicey. The arrive by date is an estimation that assumes that their last-mile logistics pans out.


>[3] Amazon, for all of their failings, is still absolutely obsessed with customer satisfaction.

I recently had an AWS issue. Emailed our rep. Next day I was on the phone with like 8 Amazon people, high up enough to make things happen and low enough to make things happen.

It was pretty wild and yes, for all their faults, the are the most customer focused company I’ve ever worked with.


AWS != Amazon.

Amazon is famous for their fake returns that get put back into inventory without being inspected.

Amazon is famous for their fly-by-night third party operators who do all sorts of crazy shit to the customer, but then Amazon claims it’s not their fault. And then Amazon also refuses to tell you who the actual third party was that did the crime.

Amazon is famous for not giving you an adequate solution to a problem that they caused.

Amazon could solve a lot of problems just by never co-mingling inventory from one seller with that from another seller — or with FBA inventory.

Let each seller sink or swim on their own, and let their information be fully exposed to the customer.


No, they’re not. They’re obsessed with taking your money and then giving you no avenue of recourse if you’re not satisfied.

Order a three pack of cat litter and get only two packs in the box because one never got included in the first place or the box was opened during transit and the re-taped closed with obviously non-Amazon tape? Gotta ship that box back with two bags of cat litter in it, before you can get a replacement box of three bags of cat litter.

Guess how many times that kind of crap has already happened to me?

Why can’t I just send the pictures of the box and then they send me the third bag of cat litter that got stolen?

I’m tempted to ship them back the bags of cat litter after they’ve been used, so that they can inspect other outputs too….


I’ve never had Amazon not offer me some recourse on the ~0.5-1% of shipments that had an issue.

Sometimes that recourse is stupid (“ship back an entire desktop CNC because it’s missing a spring”), but it’s Amazon’s dime not mine. Other times (alternator mounting flange machined incorrectly by 1/16”; “we can send you another one that’ll get there in 6 days”) I had to make do and modify the part to fit because I can’t be without a car for a week (and the local parts stores were 2 days out at 2-5x the Amazon price).

Order another 3-pack, ship back the 2-pack. If you need to use one bag now, use it, and when the new one comes in, ship 2 of those back. Amazon’s giving you something workable and fair-to-you, but appears stupidly inefficient. So what? It’s their money, their choice; not my job to protect them from themselves. (I do suspect a 2-minute chat with A2Z and asking for a 1/3 refund and ship nothing back would also be granted.)


I'm pretty sure that commodity retail has always, for my living memory at least, been a pretty stressful, insecure, and low-wage position.

Amazon's scale brings welcome visibility to the problem, and offers employees the chance to unionize, but I'm puzzled by upper-class culture's seemingly new discovery that commodity retail is a shitty job.


Exactly this. Having worked such jobs in my youth; you don’t do it for the prospects…

As you say, it’s a matter of scale. Shitty jobs have always existed, they will continue to do so. Is a job in home removals - a gruelling, backbreaking task - truly better than that of an Amazon courier, engineer, or warehouse employee? If we want to be particularly extreme, we can swap removals for mining, farm work, or heavy manufacturing.

In the long run, damaged joints n’all, I expect that the average ‘shitty job’ of today - in developed nations - is still an improvement on what came before.

Yes, a lot of this comes down to outsourcing risk and danger (e.g. from manufacturing). I’m interested in hearing opinions on this - it’s a working idea.


I'd buy more often from smaller businesses if it didn't take most of them 3 days to merely put the shipping label on the box, let alone actually ship it. Amazon is top dog because they know people want a shot at getting items on the same day or next day. Almost no other online business can match that besides maybe Walmart, but they're vastly inferior and their fast shipping rarely pans out.


That is the heart of “Aggregation Theory” from the stratechary blog. That these companies amass their market power by making their product so easy to use, they aggregate demand and are able to squeeze suppliers. They hold monopolistic power, but it is hard to argue that they “harm consumers”. Unlike old school monopolies, consumers go to aggregators because they want to, not because they are forced to.


This articulates exactly what I've been thinking about technological progress for a long time. When Discord stopped marketing itself as a chat service "for gamers," suddenly huge swathes of chat groups from high schools to electrical engineering projects moved their discussions there. It was giving me a strange feeling, maybe because Discord was a product instead of a protocol, and also because it means that all the domain-specific knowledge produced in those chat rooms becomes siloed inside the servers of a single proprietary company, unable to be indexed publicly. But that was a point in time where a company improving the quality of its product and its market reach gave me hesitation for some reason. Improving your service and having more people talking about it and using it is supposed to be a good thing, right?

The notion of a baseline of satisfaction required for consentual opting-in to monopolies seems to have produced this perpetual equilibrium where even if people don't like a service they still throw up their hands and use it because everyone else happens to use it since it is the one and only place that this one crucial discussion about X or Y is taking place in the entire world, and the subject matter has nothing to do with the platform itself, but that platform was the one that happened to win out, because it was superior.

It's caused me to think that just because you are fixing bugs or legitimately making improvements to a product, or have big dreams and an idea that actually does change the world, it doesn't mean that you are necessarily mean that you are doing the world a favor overall. The people in control or the incentives could rule what actually happens.

And the scariest thing is, people don't want to outlaw or regulate innovation or growth. People are fine with Amazon improving its marketplace to the point where there are no other marketplaces left offering a comparable set of products. A lot of people seem to be fine with letting social media grow to dominate our lives if it's reframed as "making it easier to keep in touch with your distant relatives."

Now it really is easier to keep in touch with your relatives than ever. And now, social media is also starting to dominate our lives.


>consumers go to aggregators because they want to, not because they are forced to.

Recently I wanted to buy 10-ish dead tree books in English and get them shipped to an eastern EU country. Going through the first 20~ DDG results of online stores exactly zero would ship them here. Also, the local bookstores would have only few books in English, mostly the 'bestseller'-type stuff.

Amazon was the only place that would have them available and would ship them here..


I think the statement you're replying to is more talking about staple items, not long-tail items. Things like toilet paper, toothpaste, shoes, etc. should be widely-available from local stores (both online and brick-and-mortar), and yet people still go to the aggregators for them, because it's easier and gives them predictable pricing, delivery, and quality.


Do you have a local toilet paper store? I only have local aggregators, who also sell toothpaste and painkillers


Those firms are actually designed around monopsony power, not monopoly power. That is, the are the vendor you have to sell to. Walmart is famous for this.


I don't know that it's better for suppliers to have monopoly power


For diversity, I buy from target.com. They don’t have the selection but sometimes that’s what you want. I don’t need to look through 20 brands of tissue. Their prices and shipping are generally on par with Amazon (I assume they are forgoing profit to get loyal customers)

So basically I would try going to target first, then Amazon. Or Newegg or B&H first, then Amazon. There are other retailers of course but those tend to have operational competence, which is hard because Amazon raised the bar.


This is a good point. I've found stuff on Target I wouldn't have considered on Amazon.

I also like Target's pickup option - it's even better than Amazon sometimes because it'll often be ready for me in like 15-30m and driving/biking over there is like a 10m exercise.


> I bought then for $35. They will arrive tomorrow.

Shouldn't you wait to see what kind of cheapo $35 shoe arrives tomorrow, one you never got to try on, before you celebrate?


Sounds like he did due-diligence on reviews.


I've had far too many experiences buying well reviewed stuff on Amazon that turned out to not be as good as it should have been for this to be a convincing point.


I thought we learned from the Cliff Stoll incident that Amazon reviews can be heavily doctored and/or bought. So especially with third-party retailers and cheap import stuff, it's a gamble.


Still a bit early to celebrate. You really can’t trust aggregate review scores these days—even if you scan them with a 3rd party tool.


Not only that. Amazon also seems to have no idea what they sell shoe wise.

Bought winter boots from them. So not sure on what size to get, because you should buy those larger. I also have wide feet too but they only offer them in M not E or wider. I don't know the brand yet, so no knowledge on how they fit vs size listed. Finally ordered after research online.

Instead of the size I ordered, a 10 M, I get a 10 AA. It doesn't fit obviously as it's too narrow. Contact support and ask them what to do. They assure me I should get them exchanged and they will add a note to the warehouse to make extra sure I get the 10 M and not accidentally a 10 AA again. Days later I get 10 AAs again... Same chat with support who probably laugh to themselves at the stupid customer 'note to the warehouse haha' (do they actually do this? Would any overworked/underpaid warehouse worker even look at that?). I have to cancel the order and order a new pair in 11 M, which if I actually get that means they're gonna be too large. Luckily an 11 AA arrived. Go figure.


A friend of mine once received four disco balls in a row from Amazon when he ordered a set of speakers. Every time he would send the disco ball back, and every time they would apologise, tell him they would send him the replacement speakers, and then send him another disco ball. It was clearly an incorrect SKU somewhere, but I don’t think there’s any point in the chain where a person looks at whether what is being sent matches the product description.


It is a difficult problem. There is a saying: ease is the disease. Seeking the easy path (which most of us do) generally leads to supporting institutions not for their moral worth, but for their ability to make our lives easier. And so companies focus on exactly that: making our lives easier.

Taxes might help. If you tax a company for their immoral behavior, the cost of their goods go up and consumers might make different decisions. But in a democratic society the people who create taxes are elected by voters who want their lives to be easy.

Maybe the best thing would be to throw out democracy and be ruled by philosopher kings who can make these decisions for us. I only say that half-jokingly.


> That kind of convenience is terribly addicting.

Cigarettes are terrible addicting too and people quit them all the time.

As far as I can see, the low cost of the American lifestyle is largely subsidized by shifting the price onto others. Whether that's Amazon keeping prices low by exploiting labor in the west or Chinese manufacturers keeping prices low by exploiting labor in China or meat manufacturers keeping prices low by running factory farms, at the end of the day, the ethical choice is always going to have a higher price attached because you're eating the cost so others don't have to. The only solution is to put your money where your mouth is.

Others say legislation, but that's a transient solution at best. If the lobbyists don't get to twist the legislation in the first place, they'll just keep lobbying until they get their way. They have the money and organization to make it happen.


>"So aside from just stop buying from Amazon, what can we do?"

Lower the barriers to entry for business. It is not easy to comply with regulations and reporting.

A scrappy startup can replace Amazon if they can focus on things that are not burdensome and arbitrary, like rent + insurance + tax reporting + legal.


Lol, no a startup can't replace Amazon without themselves having all of those rents, and insurances, and reporting accountants and lawyers. Amazon has a logistics network that rivals the U.S. military's right now. You can't just "displace & disrupt" that with a trendy San Francisco office.


Why wouldn't you have said the same about Amazon and B&N in 1994?


Amazon wasn't competing with B&N in 1994. B&N however (and Borders, and so many others) were.

Amazon in the 90s wasn't about "getting a book" but "getting a book via a computer, from a place with "all the books" and I don't have to drive".

B&N could have competed with that if they had understand what was happening, but I don't think they did.

bookshop.org appears to do so, but may be 20 years too late.


I don’t think the previous commenter was saying that no startup could disrupt Amazon, but that no startup could disrupt Amazon simply by spending less time on tax paperwork.

Amazon didn’t disrupt B&N by spending less time on tax paperwork. They disrupted them by changing essentially every fundamental piece of how they conducted their business.


Amazon's original pitch was not selling you the latest Stephen King novel. B&N was going to beat them there. But they were going to own the long tail of books you cannot stock a cache of every few miles in suburbia.


I second this comment 1000x. Amazon beat Barnes, and then Walmart, and then Jet tried to beat Amazon. If the average Joe was able to give it a shot instead of just the Harvard elite, then we'd have many more chances


> burdensome and arbitrary, like rent + insurance + tax reporting + legal.

If "rent + insurance" are unnecessary overheads, you might as well say employee protections are completely useless regulations too.


You expect a scrappy startup which has few or no regulations to comply with to treat their employees better than Amazon, which only treats their employees as well as they do because regulations force them to?


> which only treats their employees as well as they do because regulations force them to?

In fairness, the do pay more than the legal minimum wage in many places.


In other words, if the scrappy startup is worse than Amazon?


> So aside from “just stop buying from Amazon” what can we do ?

Lobby your congressperson to break up Amazon and all the other big tech companies. Prevent them from bundling, vertically integrating, and using loss leading products to make all competitors not competitive.

Make their delivery network its own company who takes orders from other suppliers. Make their storefront and warehouses its own entity. Make their media organization stand on its own. People smarter than me can figure this out.

Make policy that punishes national and international companies and favors local businesses, and keeps the taxbase local rather than in Delaware.

Ultimately there's little that one can do with this hyper concentrated economy other than push for and join the political wave against concentration.


I think that is to say that Safeway is not allowed to own warehouses, and neither is Walmart?

Also, apple isn't allowed to both make phones and software for phones?


There are other megastores with options other than Amazon. Target, Walmart, etc.

I have found Amazon to be not the best with clothing/shoes unless you're buying the same shoes over and over - the pricing in that case is often not competitive either.


FWIW, when I wanted a specific pair of shoes, I ordered them directly from the brand.

It's very convenient to buy from Amazon, but it's hardly a hardship to not do so.


No reputable brand is going to sell even half decent shoes for $35. This is a good example where you can see how much people are really willing (or able) to spend on “local” or “quality” goods that can help pay for a store’s staffing needs and other expenses.


https://www.everlane.com/products/womens-forever-platform-sn...

Everlane shoe on sale for $35, with the actual cost breakdown at the bottom for info. $7.02 materials, $2.16 hardware, $6.35 labor, $3.11 duties, $3.00 transport. (true cost, $21.64)

They even give you a description of the factory. https://www.everlane.com/factories/forever-sneaker


It's worth noting that the difference between $21.64 and $35 is not all profit. I see they've left out marketing, which is generally one of the biggest expenses, and there's also inventory risk (sometimes they'll make products and be unable to sell them).


I was in the same dilemma a month ago. Went to the closest outlet and got a great pair of Nike running shoes for about $55 (which I could try before buying).

I think a KEY benefit of amazon is that you know it has everything.

Sure, you might get better Foo at another store, but that's not the same store that sells you the better Bar. So you just default to amzn


I've gotten a few pairs from Adidas (adidas.com or their eBay store) and they have been great for my light needs. One can find Alphabounce-soled sneakers and etc. for around that price, including shipping.


Maybe he wears Crocs.


I recently tried to buy a nice cream whipper (ISI Gourmet Whip) and figured i would buy from the manufacturer. There's seriously a $50 difference between the manufacturer price and the price on Amazon (in favor of Amazon). And the Amazon merchant is an authorized seller according to ISI's own website. I was truly baffled


We can start by taxing enormous corporations more, not less, and direct that tax revenue to the benefit of local communities, not the military or some general federal slush fund. If we’re not going to go after monopolies then least we could do is separate companies with >$50 billion in quarterly revenue and tax them differently than everyone else. Obviously they wield a ton of power to get to that point.


Fact is, a lot of times that extra 50% you pay will come back in lifetime of the product, if you know how to shop for it. And shopping in person often makes it a lot easier to assess quality. Especially when Amazon orders turn out to be straight up forgeries.


> So aside from “just stop buying from Amazon” what can we do ? Create a better service, sell cheaper and better quality products, etc. Is it easy? Of course not. But what do you want to do? Why would I buy product X more expensive at another store? The convenience is not addictive, is just good. People who don't have SDE salaries can afford the things they need at amazon, because are cheaper. Most people will find the best deals, unless you know a better place, I don't think you can do anything about it.


> So aside from “just stop buying from Amazon” what can we do

There are two issues here: One is that you want to boycott a company that treats its employees bad, and two is that you buying local makes money circulate in the local economy.

Make sure to decouple those.

I like to play a game of "how is this retail employee going to lie to me today" when I walk in any brick and mortar establishment. Its entertainment.


> "how is this retail employee going to lie to me today"

That’s easy. Just ask them how their day is going.


$15/hr, working indoors in an air conditioned building, in relatively safe conditions, is an absolutely amazing deal for low skilled workers in most parts of the country. Not to say we couldn't do better, but it always helps to see from the perspective of those who are less fortunate to understand why they choose to work at places like Amazon.


Aren’t size 14 shoes on the long side of the tail? Amazon will always be better at that than a brick and mortar retailer.


The rule of, er, foot, is that any shoe store will carry up to 12 in just about anything, and 13 in some.

14 and 15 are sometimes available.

Anything larger is a specialty store... except New Balance will always have up to 18 in some styles.

Now, width is another matter entirely.


For YEARS I bought Merrills in 13W from Dicks or REI. I made do but I hoped PayLess were still around. Shoes are really expensive, but fair point, I got big feet.


This is the same reason why we still have terrible economy experiences on airplanes. All of the airlines are focused on trying to maximimize revenue by forcing you to upgrade (if you want anything remotely non-terrible), and they all do it because they're all desperate to complete for the bottom.

(Well except for the MEA Carriers)


There's basically no profit from economy seats. The first/second class seats subsidize the economy ones.

They're terrible because they're only there to fill a public good


A company hiring near 1% of the workforce is not suppressing wages, it is a massive demand for wages.


I come at this from the other point of view: I used to work as an equity analyst (analysing companies), and I ended up gravitating towards retail.

The issue, as you imply, isn't only that Amazon is very good but the experience at many physical retailers is very poor. It is difficult to simplify this down to one thing imo.

Managers in physical retail are unusually bad. Retail used to be ludicrously profitable, so most companies have a dense layer of MBAs who have no real idea how to adapt or innovate.

I recently read The Secret Life of Groceries (not great tbh, but did cover some useful themes) and towards the end of the book (paraphrasing), it is framed as grocers all "compete" to be the best version of the same thing. They strip all the difference out of their product, usually compete solely on price, and (ofc) someone eventually comes in and undercuts them. That is a failure of incentives and management.

This varies by industry, and is not limited to incentives/management. One reason for the lack of innovation in sports apparel is that there are basically two suppliers, and one of them is moving heavily into DTC. Every sportswear shop is just a Nike distributor, so there is no real differentiation there (the only innovation in the sector has been distributors moving up the chain like Sports Direct and Decathlon in Europe). So the reason why you can't find shoes cheaper is actually because of Nike, not distributors (and those distributors lack any capacity to innovate, management is mostly composed of MBAs who likely have worked at Nike or Adidas at some point).

But the solution is counter-intuitive: keep buying from Amazon. There is nothing structural or inevitable about Amazon's success (compare them with the large Chinese retailers, they actually look quite blundering and incompetent, they have made mistakes in distribution already that are going to choke them). Physical retail needs more innovation which can only come through firms dying, and entrepreneurs thinking about what consumers want (this happened with WMT, there was consolidation then competition as WMT got overrun by MBAs and they lost their edge...Tesco in the UK is a very extreme example of this too).

I wouldn't be pessimistic either: the distinction between online and offline retail really doesn't exist. Look at restaurants like CMG, they are taking most of their orders online...but that doesn't change the product. It is the same with retail: taking an order online doesn't change the fact that the retailer is holding some product somewhere, and is distributing that to you (this is the mistake that Nike is making, they are going into DTC thinking they just can just cut everyone out, and jam up prices...it is MBA, day one strategy, and idiotically wrong). The real difference with offline retail is actually the cost of property, which is going to narrow over time. Ofc, this isn't universal...some verticals like hardware stores are ready-to-go already, others like clothing probably aren't (there isn't much value-add at consumer contact, and they pay v high rents)...but the innovation will come. I don't think physical retail is dead at all though. If anything the weakness of physical retail is that MBAs stripped all the life out of it which left them open to competition from online. Online is just delivering the message that consumers have had enough.

EDIT: I will add that personally I think a lot of the stuff on Amazon is terrible. A lot of retailers in the 2000s were just innovating by going deeper into China, and closer to factories. Amazon just took that to it's logical conclusion. It works for some products, not for everything. Branded stuff also tends to be fake.


> There is nothing structural or inevitable about Amazon's success (compare them with the large Chinese retailers, they actually look quite blundering and incompetent, they have made mistakes in distribution already that are going to choke them).

Could you elaborate?

What mistakes did they do in distribution?

I am just seeing them out-compete everyone. With their own dedicated shipping they can grab that essential percentage point of margins that makes them either rich or gives them the ability to be the best price in town.


AMZN hasn't built out close to consumers fast enough (I don't necessarily mean last mile here). Chinese online retailers, as an example, were able to same-day delivery, do lots of volume, hold lots of SKUs but do this with less space because they have a denser network (and denser population).

This was done for rational reasons (partly US population density, zoning issues) but, I think, the mistake was motivated largely by going into third-party in the way they did, which necessitated tall and narrow distribution. And I think it is going to be difficult to make that space economic if third-party softens (imo, inevitable because they went for a free-for-all, which can only devalue your brand over enough time).

Maybe, the position in the US is defensible. Outside the US, particularly in Europe, I think it is unrecoverable (this is partly my biased experience, AMZN has one of their largest warehouses globally near me, and the economics make zero sense given population density). So I think you will see companies that already have very tall and narrow distribution in some verticals compete within third-party (I am seeing this locally, apparel retailers suddenly becoming platforms), and then the short and wide distributors will cut them to pieces with less SKUs/faster delivery/more control over products (if you look WMT, their failure online is unbelievable...they probably had better infrastructure than AMZN until very recently, and maybe still have an advantage because of their locations).

EDIT: I will add, this is measurable in terms of a rather standard retail metric: sales per sqft of warehouse space (inc. system/third-party sales). Right now, I think they are in a self-reinforcing cycle but if this softens, all the strengths become weaknesses (again, quite like standard retail). But if you see sales per sqft keep trending up for the next five years then I am wrong.


When was retail ridiculously profitable? The charts for public retail companies going back 2 or 3 decades show sub 5% profit margins.

The weakness of retail is that it has a low barrier to entry and does not provide much more utility compared to competitors. Quality control and branding and the internet make obtaining information about good products and being able to trust them much easier than in decades long ago.

Some retail companies with upper middle class clientele can afford a little bit of extra margin, but it is a small portion of the population with that kind of disposable income. You put a Target/Costco/Nordstrom/Home Depot/Best Buy/IKEA/Apple/Trader Joes somewhere, and a handful of other stores and you basically have it all covered.


Margins are the difference between what it cost, and what you earned. But what I would call "profitability" is your actual return versus capital deployed.

For example, I know a retailer that earns a 1% margin...terrible? No. They turn over their inventory every week (roughly), so they earn that 1% 56x times a year...that is a very profitable business. Similarly, I can earn a 90% margin but if I can only turn my assets over every ten years (some business are like this) then that business isn't very profitable.

Retail provides massive utility. Retail is the link between producers and consumers. Most producers do not have the interest or the ability to sell direct to consumers, it is a totally different (and very expensive) business. And barriers to entry are significant: retail is complex, there are huge fixed costs, and you own the link to consumers (that is why distribution is where all the profit is within most value chains). The internet does make information easier but retailers also do that job, Amazon doesn't but product selection a competitive advantage (most consumers trust retailers more than they trust brands...Amazon's return policy is a prime example, retailers need trust). And there is a difference between providing information and distribution: if that wasn't true Consumer Reports would be the biggest retailer in the world (I actually agree with this a huge amount though, this has never made sense to me...but trust is complex, humans aren't totally logical, and the system we have is pretty good).

I am not clear what your point is. But one, small proportions are fine, Ferrari doesn't sell to everyone and they do okay. Restoration Hardware is a more modern example. Two, your point about those stores is my point about why distribution is profitable. Three, and the point I made earlier is that most of those stores (but not all) have essentially become derivative of each other...and that is why physical retail isn't competitive. Most physical retailers essentially threw up their hands, and decided to compete on price alone which suited online retailers very well (as I said though, this happened when retailers took more control over supply chains and started sourcing directly from factories in China, and this largely started before Amazon existed but accelerated hugely in the 2000s).

I can consolidate these points by mentioning Restoration Hardware again: no-one knew they needed Restoration Hardware before Restoration Hardware existed, their model is ludicrous, it makes no sense...but it is also very successful and gives consumers something they cannot get online. If you asked consumers what they want before cars were invented, they will tell you they want a better horse (btw, Trader Joe's is also the perfect example of this...they did almost everything you shouldn't do in retail, that is how they succeeded).


>Margins are the difference between what it cost, and what you earned. But what I would call "profitability" is your actual return versus capital deployed.

>For example, I know a retailer that earns a 1% margin...terrible? No. They turn over their inventory every week (roughly), so they earn that 1% 56x times a year...that is a very profitable business. Similarly, I can earn a 90% margin but if I can only turn my assets over every ten years (some business are like this) then that business isn't very profitable.

I do not know what most of this is supposed to mean, but that is not what profit margins indicate on a company's 10-K. A 1% profit margin indicates little room for error, and given that most retailers pay bottom tier wages, it means they have intense competition and little pricing power. Very few at the very top might get rich in retail.

>Retail provides massive utility.

I specified that retail does not provide much utility compared to other retailers.

>I am not clear what your point is.

My point was that I disagree with your original comment

>They strip all the difference out of their product, usually compete solely on price, and (ofc) someone eventually comes in and undercuts them. That is a failure of incentives and management.

There is no failure of management or incentives. There is customers willing to shop somewhere else for 5 cents less. A few retailers, that I mentioned, will succeed catering the the top 1 or 2 quintiles who can afford to pay a little extra, but most retailers will be competing on mostly price alone.


Okay, to make this clear: the company that I am talking about earned a 67% return on investment...does this sound high or low level of profitability? Margin tells you nothing, businesses are not valued on margin but by return on capital (of which margin is a component but not the only component).

Also, your points about margin are all wrong...supermarkets control both the price they charge and the price they pay. To give a simpler example (you are confusing lots of things like having low-paid staff) is HFT a profitable business? Margins are the lowest of possibly any business known to man, these firms are usually making significantly under 1% or even 0.01% on each trade...that ignores two things: they don't take an opportunity unless it is profitable (gas stations are another example, margins are low but essentially fixed), and they turn their portfolio over thousands of times per day. If you earn 0.01% that isn't a lot, if you earn 100 000x per day then that is very profitable.

And I explained why retail does. If retailers aren't necessary, why is Amazon so large? Are Chinese factories just choosing to set fire to money? You explaining it does not make it true.

Again, Trader Joe's is a perfect example. Because people care about price does not mean they don't care about anything else. This is the mistake that MBAs at retailers made, they chose to compete at a game they would lose. Again, the reason why consumers perceive their choices in that way is because that is how retailers have chosen to compete. There are lots of other models (you named one, Trader Joe's grew by competing on price AND also choosing to narrow their range significantly...the same model was actually used by dollar stores, they actively chose to run against competitors who tried to carry everything...competing on price does not mean that you have to compete on price alone).


> If you earn 0.01% that isn't a lot, if you earn 100 000x per day then that is very profitable.

My point about profit margins is that they are low profit margins per employee (which I should have made explicit). Retail companies do not have room to hire better managers and workers.

The low margins show that customers are only willing pay so much and that it is a basically all optimizations have been wrung out. At least until a game changer comes along like the internet, which provides even further optimizations, but those are about lowering costs, generally including payroll.

> And I explained why retail does. If retailers aren't necessary, why is Amazon so large? Are Chinese factories just choosing to set fire to money? You explaining it does not make it true.

I never wrote retailers are not necessary. I explained why most retailers cannot be differentiated from one another. And the answer is because for most things, the customer does not care for much other than low prices.

Trader Joe’s is a good example of there being a little bit of opportunity serving the richer households. Trader Joe’s are always only in the richer parts of town, like Costco. But Trader Joe’s is certainly not cheaper than a mainstream grocery store like Kroger or Winco or Aldi, and won’t be able to compete with them in neighborhoods with poorer demographics.


Half the reason I use Amazon is there web app doesn't suck. If I go to Walmart's website it will be ugly and slow and I'm not confident it will work well on my phone. Why can't Walmart get this right? I'm fine buying from Walmart and having them store my CC info like Amazon does, it's only that poor web app experience holding me back.

Maybe someone can make an Amazon competitor that is just a decent shopping app. I don't care if your store only has shoes, if I see it and think "oh, this is another one of those non-shitty-web-app stores" I'm likely to come back.


walmart.com is rebadged jet.com. It isn't a clusterfuck with a tech debt extending back to the 00's like the old walmart site.


Agree. While Walmart's search can be a little silly still and selecting the retailer as Walmart.com every time gets old (esp. since it moves around), the search is light years better than the trashfire that Amazon.com serves me. Also, it is nice that Walmart.com emails actually list the items that I ordered instead of just the total order amount: the latter ensures that I must go to the site or app to determine what I ordered vs. searching my emails.

Ordering from Amazon.com has been a pain for me for a long time, from the prompting to join Prime on every checkout, the reqd. selection of non-prime free shipping on every checkout, the content-free order emails, and etc. I contacted them specifically about the email issue but they pretty much replied with 'thanks for the info.'

Most of my orders are now local, Target, or Walmart. If the latter 3 don't have it, then I reluctantly fire up Amazon and hate my life a little bit for it.


Amazon is a poster child for antitrust litigation. They're publicly known for using their dominant position to compete with their suppliers, and drive their competitors out of business with price dumping. There is little chance you'll find alternatives to Amazon if they're allowed to destroy competition.

Regulation can only go so far, it can help build and stabilize a healthy ecosystem but it can't help with a fully consolidated business like with a decade of experience in killing competition.

There's a good case to be made that they should get the standard oil treatment.


If you follow the link at the bottom of this comment it will lead you to $20 shoes from Target. They usually have the option to get it shipped to the store of your choice within several days. You can do a similar thing for other goods you need.

There are also discount/used clothing stores like TJ Maxx which have cheaper clothes.

Relatively speaking, it's not difficult to buy things not from Amazon.

https://letmegooglethat.com/?q=mens+shoes+target


As I understand it, Amazon is already internally organized in relatively independent groups, each focusing on a particular market. If so, one possibility would be to:

a) break Amazon into many independent companies based on these already-established groups and

b) bar forever (or for some time) these groups from merging with each other.

The initial conditions (terms of the break-up: e.g., how much cash each entity would get) would determine whether, when cast out onto the street, each might survive.


You wait

Product Makers will at some point realize they can sell direct and do it without AMZN. e.g. Nike, Apple

Competitors- Dick's, Best Buy will give product makers ultimatums- if we get undercut by AMZn, we're not going to sell your stuff- so you decide. Its nice to be able to buy and pickup curbside same day

Customers- I already find Amzn beating prices on eBay about 25% of the time. eBay shipping times are improving too


That store should have let you try on stock at your leisure, let you pick colors, styles, etc, then facilitated delivery overnight to your home with an in store return option with 1 year discounted upgrade / trade in. No more out of stock BS.

It's a comedy of uncreative errors that leads us to zero in store competition with Amazon. Target isn't bad!


You can use eBay if you don't want to use Amazon. Plus, you can even sell your stuff on eBay when you're done using it. I've never been an Amazon customer and don't plan on ever being one. I buy most things used too, saving lots of money along the way.


LOL.

eBay is even worse!

Zeroth, lots of eBay resellers drop-ship from or resell directly from Amazon. There are plenty of bots looking for arbitrage opportunities between Amazon, brick-and-mortar, and OEM.

First, there's absolutely zero guarantee that you'll get what you bought. The chances of you getting a box of rocks is significantly greater on eBay than on Amazon (unless you use Amazon Marketplace, in which the chances of this happening are _still_ lower).

Second, returns and disputes are generally settled C2C (consumer-to-consumer). Which means you're completely at the mercy of the seller (or the buyer, if you're selling). PayPal acts as a mediator, but they are really easy to game.

Ever heard of the US Postal Investigations Service? Or the FBI IC3? Well, you'll get to know those departments _real_ well once you start using eBay enough.

Third, PayPal has a Buyer Protection guarantee, but it only applies in a handful of specific situations and is, again, very easy to game. Hard contrast to Amazon's return policy, which is, basically, "if you still have it, and it's in the return window, you can return it, unless you abuse it."


Have more than 300 orders with eBay over the past few years and cannot relate to anything you said at all.

eBay is great and when I have an issue I can pick up the phone and call someone local in Australia who seems to be able to solve everything in one phone call.

Also picked up a few nice brand new bargains like A$99 AirPods, or A$329 for a ultrawide 3440x1440 144hz monitor.

On top of all the stuff I buy used to reduce my environmental footprint while saving money.

I have also sold about 30 items on ebay and again no issues from buyers.


Lol.

Have you used eBay significantly or so you avoid it because of the reasons you just posted?

I’ve replaced Amazon completely with eBay and have been using eBay for the past 4 years. I have never received a product I didn’t order using eBay. I wish I could say the same for Amazon.


I use eBay as a buyer and a seller. I do not use them often, largely because the reasons specified above.

Example.

Several years ago, I purchased a pair of Lucky Brand jeans. Same cut as what I already had, in the same size. Seller provided dimensions; I thought they would fit because I already had those pants.

They arrived three days later. They did not fit.

Seller would not honor a return. PayPal sided with the seller. I was out $35. I’m actually still pissed that that happened, five years ago, and it was only over $35!

On Amazon, I would’ve returned them in three taps and a drive to Whole Foods.

Should I have looked at the item more carefully? Sure. But the point here is that this transaction would have been significantly easier on Amazon _and_ I would have just bought a different pair of pants right after that.


I was under the impression that Amazon's web hosting drove it's profitability.


All you can do is do your best to not contribute to the problems you've identified.

No one wants to be the bad guy in their own story. That's why excuses exist.

Good luck. I understand where you're coming from.


Lots of options, little will power, consumer and political. Unions, monopoly legislation, tie CEO salary to a multiple of employee salary and probably 100 other smarter ideas than those.


Advocate to people that you know about joining the boycott. Stop choosing the cheaper and more convenient option, because you're supporting abuse.


Buy directly from the manufacturer's website whenever possible. It's not hard, especially for big-label names like those who make sneakers.


I buy all my sneakers from Ebay (new, not used) and they never cost more than the price you mentioned. There are definitely alternatives.


Consumer-side protest has never worked. Organized labor is the only way for workers to effect change at the workplace.


> So aside from “just stop buying from Amazon” what can we do?

Motivate other retailers to not be such lazy louts about technology?


I am quite impressed with all the other retailers websites, much more than Amazon’s actually.

I can see which aisle things are in the store, what can be picked up today, what can be ordered to the store, etc.


how much of amazon is causing the mortar stores to sell things higher than necessary ? it's common that when a competitor swipes the rug, the old guys have to increase prices to survive (a little longer)


try ordering Allbirds directly from their website or in their stores, I'm a 14-15 too, they're in the $100 range but they're pretty stylish imo and last a while


Unionize.


Both of them pay low wages but retail stores have to pay rent for their facilities. Amazon doesn’t.


>Amazon doesn’t.

They need warehouse space though.


I doubt they rent their warehouses.

And they build them out in the middle of nowhere where land is cheap to buy.


> Employees are horribly treated, wages suppressed, and all sorts of terrible and abusive practices

We need to make those things illegal and we need to make sure those laws are enforced. This is the greatest downfall of capitalism, morals cannot be enforced by consumers because business operations are completely opaque to them. No company should be able to outcompete another by using such terrible, exploitative practices.


Stop being a slave to your addictions and form some principles. Come on.


You got downvoted but there’s something to be said for this.

If you are “torn” over this, if it’s so bad that you’re “torn”, how is this a difficult decision? Convenience trumps being “torn”. I mean, really.


Any situation that has a plus and a minus is hard to decide. Typically it's also a private plus versus a public minus. If you remove yourself, you lose the benefits but the beast goes on without you. If it's going to survive regardless of your actions anyway, why not throw another drop in the ocean?

Goes for employees and customers.


Don't stop buying, keep buying, start returning. Buy things that are sold by Amazon and return them make accounts for free trials, buy things and return them, become unprofitable then figure out how to circumvent their bans!


If there's a physical business you don't like, do you go around causing nuisances under fake identities?


Seems like a massive waste of resources and hurting the planet, and also hurting the merchants


> So aside from “just stop buying from Amazon” what can we do ?

As far as I can see, there are only two forces potentially big enough to fight a big corporation today:

1. Another equally big corporation.

2. The federal government.

The fact that US anti-trust enforcement has been essentially non-existent means that #1 is almost gone these days. Citizens United allowed corporations to buy politicians, so it seems that #2 is dead too.

It sucks.


3. Don't buy junk you don't need. Pay people to create real value.


Walmart is starting to become more competitive again re #1


Not sure why it's so hard for some people.

When Amazon Prime was real 2-day shipping and they'd send something via overnight air just to get it to you in time, it was nice. And would have been hard to give up.

Now that it just means free shipping, and you might get it tomorrow and you might get it in a week, it's much easier just to buy somewhere else. Walmart. Target. BH Photo. Adorama. Best Buy. Tons of options.


It still does mean 2 day for most things that aren’t huge items - my bed took a week, but most of my items show up next day or day after tomorrow.


"So aside from “just stop buying from Amazon” what can we do ?"

IMHO, the system is [china builds things] -> [middle man sells it on amazon] -> [consumer buys it on amazon]. Amazon needs these middle man people and has starting cutting them out by producing their own lines to create even more profit. The only way Amazon will die is if the graph turns into: [china builds things] -> [consumer buys it]. I know, I know, i hear everyone saying: that is impossible. But I don't think it is and I think that is coming.


That makes Amazon #3, after the federal government and Walmart:

     Entity        US Employees
  1. US Government         2.7M
  2. Walmart               1.6M
  3. Amazon                1.0M
If Amazon continues to grow at current rates, it will surpass Walmart's figure within 2 years.

Looking at these figures, it's evident that these three entities are far larger, wealthier, more connected, and likely more powerful than the vast majority of US cities, the vast majority of small countries in the world, and maybe even a few smaller US states.


"Across the U.S., nearly 24 million people—a little over 15% of the workforce—are involved in military, public, and national service at the local, state and federal levels. Of this number, approximately 16 million are employed in state and local governments. The federal government numbers include active duty military personnel and U.S. Postal Service workers. The U.S. military has about 1.4 million active duty service members and another 800,000 reserve forces. There are approximately 800,000 postal workers. Beyond the military and the postal service, 2 million people—just over 1% of the U.S. workforce or 0.6% of the total population—are permanently employed by the federal government. More than 70% of the federal workforce serves in defense and security agencies like the Department of Defense, the intelligence community agencies, and NASA.

Contrary to popular belief in the bloated growth of the U.S. public sector, the size of the federal government proportionate to the total U.S. population has significantly decreased over the last 50 years. It has also shrunk in absolute numbers in terms of both the full-time and part-time workforce. If we compare the size of the U.S. public sector as a percentage of the total workforce with other advanced countries, the U.S. is often smaller than its European counterparts, including the United Kingdom, although larger than Japan, which has one of the smallest public sectors internationally. In stark contrast, 40% of the workforce in Russia is employed in the public sector. In Europe, the optimal size of government is equally hotly debated, while in Russia, the size of the government and the dependency that this generates within the workforce tends to mute critical commentary." https://www.brookings.edu/policy2020/votervital/public-servi...


I'd like to see how that proportional drop in workforce compares to the contracted workforce. Are they actually purchasing less labor or just directly employing fewer of the people they pay for labor?

I think states and cities have legitimately shrunk budgets in proportion to regional economic output since the downsizing efforts of the 80s, but the federal government has not. Tax revenue as a proportion of GDP has dropped, and presumably discretionary budget has, but debt-financed mandatory budget has skyrocketed. The chart from the Fed seems to show outlays in proportion to GDP steadily growing for over a century, but pretty slowly: https://fred.stlouisfed.org/series/FYONGDA188S

Obviously, the ginormous spikes for WWII and Covid are outliers.


Is this level of concentration a totally new phenomenon? In the 1970s GM employed almost 700k people, and the US population like 30% lower. Is it just different companies every generation?


Oh boy, the new quote: "What's good for Amazon, is good for America."

When GM was "good for America", we pretty much lost public transportation, so what are we losing now?


That makes me feel a lot better. Much of Amazon is "worth nationalizing", but the is nothing I'd want from GM.

Saying "well GM is better to labor" I think is highly paternalistic. Labor was stronger in the postwar era, and the unionization of the auto industry is a holdover from that.


> what are we losing now?

Book published without DRM and the death of first sale doctrine?

Try giving away some "used" kindle books.


Isn't it the role of congress to legislate?

YMMV, but here in Australia we have strong consumer protection laws. I have way more hassle getting small mom and pop shops to follow the law than big corporate chains.


- Book stores (which were pretty awesome, actually)

- Open source

- Concentration of compute resources

- American cinema (well, I suppose Disney has a hand in this too)


- family-owned retail businesses

- distribution of ownership of the 'means of retail production'

- worker rights (looking at you, gig economy and Amazon delivery drivers)

- brand reliability (so much on Amazon is brand-free)


Isn't a lot of that older than Amazon? Walmart was already hard to compete against for family-owned retail businesses. Three Walton heirs are in the top 15 richest Americans, if you want to talk about distribution of wealth. To me Amazon seems like just the natural next generation of the Walmart model.


I'm not sure you can have both a wealth of family-owned retail businesses and healthy workers rights at the same time.


I don't know that bookstorez are dying, in the US. Amazon killed Borders, sure, and Barnes and Noble isn't as focused on books anymore. But independent bookstores have been doing okay afaict, though having to make changes.

Here's data from the American Booksellers Association: https://www.statista.com/statistics/282808/number-of-indepen...

It's possible that the bookstores are increasingly in big cities or something, but I don't think that's Amazon's fault.

A lot of this is just about certain commerce moving online, and books competing against more and more forms of content. Amazon can provide low prices, but does terrible at spontaneity or getting me to read something totally new to me.


Books have kind of also never been more available than they are today? We've come a long, long way from the heyday of Waldenbooks. I feel like I might rather be an author today than pre-Amazon.


My sense is that authors mostly make less money than they did 25 years ago, but only because there's so many more of them. And authors mostly didn't make much money to begin with.

As I was writing my first comment I kept thinking about how Walden and Borders are gone, but Half-Price Books seems to be doing well. I think a used book store is probably net better for an area than a Borders

ETA: one relevant market Amazon definitely created is ebook romance/erotica. Somehow the second page of results of any Amazon search contains $3 romance ebooks, whatever you were searching for. Those authors have never had it so good.


We also have public libraries with pretty amazing inter-library loan programs...


I think if you look at the number of bookstores that were in the US before Amazon, and compare that to now, you'll see that they're in a steep decline. Not all of this is due to Amazon, since much of the consolidation was from competition from Borders and B&N. But today's B&N is a far cry from what it used to be, Borders is gone, and Amazon is the 800lb gorilla.


If you can supply the data I'd be happy to look at it. I linked what data I managed to find. I think Amazon is largely responsible for ending borders, but less so the transformation of b&n. GameStop went through a similar crappification. That's just been retail.

I won't be surprised if there's a lot fewer book stores than there were 25 years ago. If we could break it out by big chain vs indie stores would be interesting. Because indie bookstores have been doing well in the last ten years (despite ebooks!). I was surprised by this. It didn't fit my mental model.

Maybe I don't remember well enough the pre-crappy versions of borders and b&n well enough, but I really don't feel strongly about them. Indie bookstores are where it's at for me.


How are we losing open source?


I don’t agree with OP, but what they were trying to say is they’re killing open source business models. They take a popular open source project, turn it into an AWS offering and then crush any SaaS/cloud ambitions of the open source developers.


Ah, sure. The ElasticSearch situation.


>Book stores

Ebooks killed book stores. Amazon was one of the many involved in that process. Like Pitney Bowes holding on to the printer industry for dear life. And stores sucked cause they charged ridiculous amounts of money for a glorified paperweight. Might as well scour Goodwill.

>Open Source

We live in a time with the most available and easily discovered open source code in the history of the world. This is nothing but false.

>Concentration of computer resources

Which is not a bad thing.

>American Cinema

That has been dominated well before Amazon came around.


U.S. Steel peaked around there in the 1940s too, somewhere in the ballpark of 1 out of 175 U.S. workers.


Clearly, it's not a new phenomenon. That's an easy question to answer :-) The more interesting question is whether such a high concentration of wealth and power in non-democratically-elected entities is a net-positive phenomenon for the US.


Not just a few, Amazon has more workers than any of the 10 smallest states and more revenue than the GDP of the smallest 30 (individually, not summed).


I meant entire states, not just state employees. Some states have fewer residents than Walmart and Amazon have employees.


I think that says more about the state's being defined badly than about the companies.

There's a lot of people nowadays, and the government representation and power should be updated to match


Revoke the statehood of stuff like Wyoming annd Delaware[1]? Certainly doesn't feel all that unreasonable.

___

[1]: Hm, maybe gotta wait four years for the latter.


Me too, sorry if that wasn't clear. Amazon has more workers than the smallest 10 states have people.


The law grants cities powers that corporations do not have. Corporations are only more powerful if wealth can be used to subvert the rule of law.

And that never happens. /s


> likely more powerful than the vast majority of US cities, the vast majority of small countries

Indeed there are not a lot of countries/cities that are wealthy/powerful enough to send people in space


Blue Origin isn't that expensive, at least by nation state standards. Its just if there's no political will for a space program then there will be no space program. Space is a money blackhole for the most part so there's no big incentive to start one especially when governments are busy, ideally, fighting poverty, enforcing law, regulating capitalism, and protecting workers. The USA didn't have its own human rated launch vehicle for years and it wasn't a big deal. Space isn't a compelling target for good reasons and the midcentury space-race was little more than showing off ICBM capabilities between two nations who wanted to murder each other.

I'm glad we've moved to a peaceful and private-public model with BO and SpaceX but its not like every country is failing everyday at getting rockets off the ground. They just don't care that much and know they can buy rocket rides from other nations, the same as buying medicine or arms from them. It just makes a lot more sense to buy space-related services from others than start your own for almost all nations.


Neils degrasse Tyson has a really good video presentation he made at some UAE conference that's on YouTube somewhere. I normally don't listen too much to the science popularizers (Bill Nye, Tyson, Kaku...etc) that get consulted to talk about subjects outside their specialty (Example: talk to a geologist or whatever and not a string theorist when discussing plate tectonics). However, this one got my attention.

NDT says that people do big expensive projects for 3 reasons: 1.) War (people will do anything not to die like build a great wall or an atom bomb), 2.) For religious reasons or to satisfy a monarchy(pyramids, Notre Dame cathedral), or 3.) For economics.

We spent $$$$ on the space program as it was a key part of showing off our might in the cold war (#1). NDT speculates that Mars will not happen unless there is a military or economic reason to go there since #2 isn't big anymore.


Very few companies are wealthy/powerful enough to do so.

I'd guess that there's a similar number of cities and companies that could send people to space


I’m not sure why everyone continually romanticizes brick and mortar retail. Its terribly inefficient, and wasteful of time, energy, space etc.

Think of all the Walmart, Dicks, Big Lots parking lots and strip malls that could be converted into better space. Think of how much waste there is when you have to pack, unpack, stage and repack merchandise.

Amazon’s distribution is a superior business model which is why it is popular. I’d also reckon that the carbon footprint per package is lower if you account for the driving that is required for more traditional shopping.

I’d rather see more competition using a similar business model than a return to concrete strip malls full of big box retailers.


Brick and mortar retail is an advertising scam from the last century. It's built to waste people's time by making them walk by different products to get to the things they want.


The problem with algorithms is that they rarely show you something new. I like walking past rows of things to see what catches my eye.


I personally hate how supermarkets are designed to make you go everywhere and how milk and eggs are purposefully out of way.

If I want to walk around and browse, I will do that without you forcing me to.


Like Amazon's sponsored listings and "Amazon's choice" (highest margins for Amazon) recommendations.


Amazon is putting in a new warehouse near where I live. They bought up farm land and are converting into a crazy large building that spans the distance between to major roads. Its going to impact traffic on both of those roads, construction already has. We'll probably need a bigger bridge on one of those roads too. It will also have a huge parking lot for the people that will work there. This building is bigger than Walmart, Dicks, and Home Depot combined. I don't see how this is an improvement, just another big addition.


>Its going to impact traffic on both of those roads, construction already has.

You think that big box stores and/or malls don't impact traffic on nearby roads?


Right, so how is the Amazon warehouse better?


Because each vehicle at the amazon warehouse delivers to dozens of customers.


With less efficient vehicles. If I order 10 things from Amazon its guaranteed to come in more than one box on more than one trip. If I drive to Target I can buy all of those things in one trip.


>With less efficient vehicles

It's less efficient, but not by much. The most popular passenger vehicle that's not a truck is the toyota rav 4[1], which gets 30 mpg[2]. A ford transit connect gets 22[3]. Using those figures, an amazon van that delivers to at least 2 houses in a suburb probably spends less fuel than those two households driving directly to a store. Even if they make separate deliveries, it will probably be worth it.


The Sprinter type vans that Amazon uses in my area get closer to 18 mpg. And they have some that are just like the UPS trucks, big and boxy in Amazon blue - no doubt these are much worse.


The contractors are not economically benefitting? Some Amazon customers won’t benefit from faster shipping? New employees won’t benefit from the added jobs? The local government won’t benefit from the added tax revenue?


I was commenting on the parent comment about Amazon being 'better'. I'm arguing that its just different than, and in addition to, brick and mortar stores. Not clear that its any 'better' for whatever a measure of 'better' is.


It's bizarre. I'm not even american but Amazon is such a big part of my day to day life.

- At work we use AWS

- Amazon uses my company software

- My wife is a retailer and now sells on Amazon

- During work I use Twitch.TV as background noise (Amazon bought Twitch.TV)

- Last week, after work I was playing the new Amazon MMO game.

- After dinner I was watching The Office on Amazon Prime


Welcome to Hell World.


One of the main reason I slowly started removing american media (movies, music, series, books, games etc) from my life a decade ago or so


Such a pretty house

And such a pretty garden

And no alarms and no surprises


I do not envy you.


Also consider that quite a lot of people work within Amazon's greater sphere, with degrees of dependence ranging from significant to absolute. Eg all the people employed in parts of the ecommerce industry where amazon wields most of the power. AWSland. Etc.

Since everyone is using government works as the comparison, government employees + government contractors, and those in the government contracting sphere.

so, yeah... they're big. At the very least, amazon jobs are now a standard of sorts. What they do and/or don't do as an employer is what's normal.


If you work in the book world, in a ton of small businesses that sell through or buy from amazon, they are a monster. Their delivery drivers seem to be everywhere these days (we have I think two deliveries per day in my area - one pass is as late as like 10PM - not your parents USPS).


the delivery driver system is like Uberified so thats why.


There are still more Walmart employees than Amazon employees.


True, they're big too.

That said, amazon is just more of a moving target. So, news.


Burying the lede: "Amazon is still a distant second to the country's largest private employer, Walmart, which employs nearly 1.6 million people in the US, or one out of every 91 workers."


It's the derivative that matters.


There are many startups that double is size every year or even a matter of months.

Derivative matters in the context of size


This sort of begs the question on how Walmart is growing.

Actually, the more I think on this claim, the less it makes sense. The xkcd of how many weddings someone will have the day after their marriage comes to mind.

What am I missing?


I can't find a graph of Walmart employees over time, which may not be surprising since it seems that they only directly employ about 50k of the cited 1.6M total.

However, the graphs in this article from 2018 make it fairly clear how the trendlines for Walmart vs. Amazon compare:

https://www.pymnts.com/consumer-insights/2018/walmart-amazon...

Assuming the relationship between those curves is still roughly the same, it seems clear that Amazon's employee growth is likely to take it past Walmart's numbers within a couple of years.


Hmmm. I'm torn. At a first instinct, this seems a safe assumption.

However, it is also somewhat safe to say that Amazon's growth has not been cutting in to Walmart, per that article. So what has been shrinking?

That is, assume a somewhat finite pool of shoppers. Since Amazon has grown, and Walmart has remained steady, is Walmart about to start shrinking? Or is there enough of a shopper pool to maintain this growth for Amazon?

Edit: I think it is safe to guess most of the growth came from the death of malls. But my question remains on how large is the pool of shoppers?


> The US has a population of 261 million and an employed non-farm workforce of 145 million, per the BLS.

>According to the most recent US employment report, there are 145.8 million nonfarm payroll workers out of a total population of 332 million.

ignoring the mismatching "Populations". (261 million seems to be "Civilian noninstitutional population")

This [0] seems to say there are 152,283,000 employed in US.

are there really ~6.4 million people working on farms in US? i thought farm work was <1% of employed peoples.


Probably has to do with precise definitions of "non farm", "farmer", "farming" and "agricultural".

BLS has this showing 2.3 million people working in agriculture: https://www.bls.gov/cps/cpsaat15.htm

And this showing there are 900,000 jobs for "Agricultural worker" https://www.bls.gov/ooh/farming-fishing-and-forestry/mobile/...

Clearly the terms "Employed persons in agriculture industries" and "agricultural workers" have definitions that diverge much, much more than I would have thought as a layperson.


If you expand the "What Agricultural Workers Do" section, it says:

> Agricultural workers maintain crops and tend livestock. They perform physical labor and operate machinery under the supervision of farmers, ranchers, and other agricultural managers.

According to https://www.bls.gov/ooh/management/farmers-ranchers-and-othe..., there are 952,000 jobs as "agricultural managers," which isn't how I'd naively expect things to be divided, but it does make sense.

I wonder how the remaining jobs are categorized.


If agricultural workers are people working under the guidance of other folks then managers may also include the "self-managed" i.e. any independent farmers including those that rely heavily on automation. There's also probably a fair chance that subcontracting can mess this up with multiple farm hands hired onto a farm all counting as agricultural managers.

It feels like agricultural worker is actually quite narrowly defined to only be unskilled people specifically requiring oversight and management.


With automation, they may not manage anybody anymore, just machinery.


Eventually, we'll need philosophers to sort it all out.


Luckily, there is no shortage of philosophers, especially on the internet.


Nonfarm also excludes military workers and non-profit employees, and a couple other categories.


There are 328 million according to the Census

https://www.census.gov/quickfacts/fact/table/US/PST045219


Neal Stephenson had the delivery part right.


In 2021, the deliverators are robots (Dominoes Pizza Nuro N2 - https://selfdrivingdelivery.dominos.com/en)


Movies, music, and microcode are holding up pretty well, for that matter.


There are still more Walmart employees than Amazon employees.


You have a friend in the family


paid for by the Our Thing Foundation


Fun fact: the name of the service AWS Sumerian comes from Snow Crash!


He got so much right on that book it's downright eerie


The cyberpunks were by far the most prophetic of all sci-fi writers. William Gibson didn't get the specifics right as he knew little about actual computers, but he really nailed the zeitgeist as well.


What book is being referenced?


Snow Crash. It's equal parts great and wacky


I wonder what the largest private employers as % of total labor force have been throughout history.

We currently have a labor force of ~160 million people and Walmart employs "1 out of every 72 American workers" or ~1.3%


Probably the East India Company. It controlled "half of the world's trade", had 50k employes, its own navy and army with a quarter million soldiers (although most of those recruited from local populations). All the while England's and Wales' population was 5 million people at the start of the 18th century.


I don't know about private. But the largest employer in the world is the US Department of Defense employing an estimated 2.8 million people which is about triple what Amazon employs.

WalMart has about 2.2 million world wide of which 1.5 million are US employees.

Amazon, according to the article, has about 950,000 employees.

https://en.wikipedia.org/wiki/United_States_Department_of_De...

https://en.wikipedia.org/wiki/Walmart


The UK's National Health Service (NHS) is definitely up there.

There are 1.6m people working for NHS and about 41m people of working age in the UK. So that's about 1 in 26 (or 3.9%).

Sources: https://www.kingsfund.org.uk/projects/nhs-in-a-nutshell/nhs-..., https://fred.stlouisfed.org/series/LFWA64TTGBQ647S


They're a public employer though, no?


In essence, they're employed by the queen


Wasn't basically everyone an employee of one "company" in communist countries?


It depends on which country, there were multiple attempts, there is no "one" communism, but generally "NO".

The USSR after the revolution was literally called the Soviet Union. A "soviet" is a council elected by workers. Basically workers would own the means of production through soviets, and they would join together as a larger governing body. Unfortunately, the autocrats and populists took control and killed everyone; or as in Russia, illness also helped kill the vast majority of able-bodied people which really screwed their production. But I'm WAY oversimplifying.


It seems NO.

In Soviet Union considerable part was in cooperation. And more in Stalin era then later.

Citing Russian wikipedia:

> By the end of the 1950s, there were more than 114 thousand workshops and other industrial enterprises in its system, where 1.8 million people worked. They produced 5.9 % of the gross industrial output, for example, up to 40 % of all furniture, up to 70 % of all metal utensils, more than a third of upper knitwear, almost all children's toys. The system of commercial cooperation included 100 design bureaus, 22 experimental laboratories and two research institutes.

China is capitalism all the way now.

IDK about North Korea but they don't seems like a "communist country" for me.


No, most “communist” countries (and I use the term loosely because really they were just state capitalist) owned many different companies, rather than being part of one mega government corporation.


Its all a spectrum but I think in practice the above statement is meaningful.

In the USSR the government set ranges of wages that different firms/administrators could give out. I guess in practice you had some choice but not if you had one entity with practically unlimited negotiating power.


There were political differences, though. At least in the Czechoslovak Socialist Republic where I grew up.

First of all, there were some collectively owned enterprises (cooperatives), which were a tiny bit more independent than directly state owned business. They could deviate a little from the strict, centrally directed price and wage norms etc.

Second, even in the state owned sector, there was some diversity among political attitudes. Some directors were more pragmatic and would be willing to employ even people whose cadre record was tainted (e.g. a relative defected to the West). Some directors were hardcore Communists who would never tolerate suspicious or politically unreliable characters in their workforce.

Finding a job if you were deemed politically unreliable was a big deal, because being jobless for a certain period of time was a crime punishable by prison. (Parasitism.)


Actually there was IMHO another class of directors in CSSR than idealists/hardliners and pragmatists - the totally corrupt ones. :P

Those knew how to play the system and how to get ridd of the others while being untouchable due to being representatives of the regime.


Letting people be homeless is a grand success in western countries, by comparison


Isn’t that like treating the divisions of a company separate?


I'd just like to interject for a moment. What you're referring to as "communist" countries are in fact, Marxist-Leninist, or as I've recently taken to calling them, "state capitalist"


It varied wildly as communist countries tried every trick on the table to keep their economies from dying every few years, but the essence was that none of them really worked before most minimal forms of private property, and enterprise was allowed.


"Amazon employs 950,000 workers in the US"

Is that the count of actual "employees with an employee number", or does that include contractors?

Edit: Apparently, yes, actual US employees. From the Q2 2021 Quarterly Results:

"Amazon introduced a new mental health benefit for all of its 950,000 U.S. employees..."

https://s2.q4cdn.com/299287126/files/doc_financials/2021/q2/...


The convenience of Amazon is amazing, in part because American urban design and malls suck.

In denser neighborhoods there is a certain charm to walking around dense streets, and sometimes randomly entering stores that catch your eye. Having malls be this dreary location that you must visit to get anything, makes amazon look so much more attractive.

Similarly, small roadside stores in high foot traffic areas can end up being sustainable due to a high number of customers per second. On the other hand, malls are built to be large and inefficient in a manner that almost feels like it's by design.

There are a huge number of products that benefit from use-before-you-buy. Brick & mortar is innately profitable in this scenario. Brick & mortar stores can also facilitate warranty more easily and will generally have fewer returns. Usually, they would have be able to stand against online shopping in those product categories. However, most US cities lack areas that would naturally see high foot-traffic. This makes it impossible to actually run a physical store. As for the other product categories, I am so glad online shopping became a thing.


>There are a huge number of products that benefit from use-before-you-buy. Brick & mortar is innately profitable in this scenario.

Unless that scenario turns unto "use (in the store) before you buy (on Amazon)," which retailers have been complaining is often what happens.


Number will be a lot bigger if you count all their "independent contractor" delivery drivers.


Now do it for:

* US DoD * Walmart * McDonalds * USPS


Walmart, which has a presence in communities of all shapes and sizes, is the largest private employer in the nation with 1.5 million workers. Yet the number of Americans who rely on the corporate giant for their livelihoods is dwarfed by the number who rely on the federal government for their paychecks. The federal government employs nearly 9.1 million workers, comprising nearly 6 percent of total employment in the United States. The figure includes nearly 2.1 million federal employees, 4.1 million contract employees, 1.2 million grant employees, 1.3 million active duty military personnel, and more than 500,000 postal service employees.

https://thehill.com/opinion/finance/438242-the-federal-gover...


State and local is even bigger. Id guess 600k employees of New York state/county/city/town/authority payrolls.

Mass employment businesses aren’t common. I visited a gold ball factory once… there were about 3 people packing boxes and one dude fiddling with the machines.


Is "gold ball" some kind of industry term or classification of a factory? Or are they literally producing spheres of gold?

EDIT: oooh, you probably meant "golf ball". I was not being purposely difficult, just dumb


I apologize I intended golf ball!

I would imagine that internal controls would require more employees of a factory making balls from gold! :)


I was going to say, I've looked at local statistics before for my area and found out the city and local municipalities have a ton of employees. Typically the biggest employer in your city is going to be your city, possibly your county.


When you consider "part time + another job" vs full time employment the "who is solely dependent on what for their livelihood" comparison probably tips even further toward the federal government.


And those aren't the only checks people get from the government.


> While it's possible that more people work at a McDonald's than either Amazon or Walmart — the fast-food brand estimates more than 2 million globally — the company primarily operates on a franchise model, so it directly employs less than 50,000 in the US.


I don't know where to put this in the comments, but I wanted to say that a lot of stuff on Amazon is not cheaper than at your local retailer. Especially the kind of stuff you'd get at a grocery store or pharmacy. Most of the times when I price something out, Amazon is 30-50% more expensive, which makes sense given the shipping costs involved. So you are paying for that convenience and selection.


I have to say - Amazon is almost the only thing that works during COVID. Everything else is pegged.

I've been waiting 6 months to buy a couch, every time I check on an update, its delayed. Government services are impossible to work with, try getting a passport or license. If you have an emergency every office is closed or dysfunctional. Amazon on the other hand works fine. I'm so thankful for it.


Yeah, there's a reason Amazon is on or near the top of those "which institutions do you trust most?" polls. Regardless of what you think about the company's practices/dominance/anything else, there is a lot to love about consistency.


Not just consistency, but customer service. It's gone down a bit in recent years, but Amazon is still amazing at it. I can actually chat with someone, almost instantly, if I'm having a problem. Having had to deal with flight delays on American Airlines recently, it's insane how much of a difference there is.


You're comparing apples to oranges.

Would you be able to buy a couch on Amazon? The #1 bestseller on Amazon currently says "Currently unavailable. We don't know when or if this item will be back in stock." so it doesn't work here the same way other retailers don't work.

So you're saying you can't get a passport from the government but you're able to buy certain things on Amazon therefore Amazon is better?


I just opened amazon incognito, searched for "couch", and everything seems to be available in a week. Some in 4 days.


Don’t you need to lay on it first? I’ve avoided beds like Casper because it’s an inconvenience if I don’t like it. Gotta lay on the couch.


Having had to get a passport recently, yes. At least better in the sense that you are actually receiving a service you've paid for.

It is virtually impossible to get an appointment at the passport office in the US right now. Not a local passport office, ANY passport office. There were people outside the one I went to offering a Nintendo Switch to people to trade for a time slot. The shortest wait time I had on the phone was three hours, and I called one minute after they opened.


I'm not sure what you are arguing here. You can buy things on Amazon but it's difficult to get a Passport right now. How is one thing related to the other?


Probably parent is writing in terms of the common line of thinking that Amazon exercises significant control over our lives by being so enormous and saying that it's not nearly so abusive a relationship as ones he's trapped in with other large institutions.

And if you have only a single citizenship, being stuck with the passport office is about as stuck as you can be.


You waited 3 hours for a passport appointment?


I just moved in to a new apartment, and I've been ordering furniture on Amazon. Why? Because the local Ikea is out of everything I've looked for, which is unsettling because I don't think of Ikea as running out of things.

It works... ok. The delivery company only delivered one of three boxes for my bedframe, I got a refund but now I have a headboard and a mattress on the floor, and the model is out of stock. Woe is me, right?

Everything else has gone off without a hitch, and so, tl;dr yes you can buy a couch on Amazon. Or Wayfair. But not necessarily at Ikea, at the moment. At least not here.


Which might show the monopsony power of Amazon being abused.

I recall an article talking about how manufacturers with limited stocks would supply Amazon first, prioritising Amazon other channels, due to the incentives of their contracts and the penalties imposed by Amazon's business processes. Unfortunately I can't find the article now...


I did the same and used Home Depot ship to store, then picked it up myself.


> Amazon is almost the only thing that works during COVID

Only in the US, thank goodness. Or I suppose I should say: everything is still working here in Norway, not quite at 100% but close.

Why is everything but Amazon underperforming in the US? It sounds like mismanagement to me.


I cancelled all of my 'subscribe and save' items on Amazon last year because they stopped delivering them. I think Amazon delivered maybe half of what I ordered in 2020. I've all but given up on Amazon at this point.


Non US here.

I buy as much as I can not from Amazon, but from AliExpress. The reason is that many kf the stores selling me brands I have never heard of, are sourced from China anyways. That kinda pisses me off.


Reminds me of Rob Hart's 2019 dystopian novel "The Warehouse", which seems to be quite popular on Amazon, too. https://robwhart.com/the-warehouse/


In the spirit of the FSF's "Right to Read"[1] dystopia story, I present "Fully Automated Amazon Communism" :

1. Everyone works at Amazon

2. Amazon has vertically integrated into every conceivable industry.

3. Everyone gets paid in Amazon gift cards.

4. Amazon automatically delivers to your home everything you need to live your life without you having to ask. It knows what to order based on an AI model of everything you have ever done or thought. Your level of consumption is automatically scaled to your gift card balance.

5. You rent everything that's not a consumable from Amazon.

6. If you quit your job at Amazon, you starve to death. You must even return your clothes because your license to them has been canceled. You could try and live in the woods and eat nuts and berries. Using someone else's Amazon prime account is punishable by death since that's the practical consequence of getting fired from your job at Amazon. The right of first sale has been abolished for all goods, so even if someone wanted to give you food, they don't have a product license to do that.

[1] https://en.wikipedia.org/wiki/The_Right_to_Read


you're being downvoter and I don't understand why.

Here are a few more things for your list:

7. Amazon monitors everything you do online and offline (they do provide the backbone and all of ISP services). Corrective action is taken if needed

8. Amazon decides who get to live and who gets to die based on your predicted future value. Also, Amazon decides who gets to reproduce.


>you're being downvoter and I don't understand why.

Probably because Amazon historically hasn't done vertical integration. Amazon Basics items aren't manufactured in Amazon factories. Heck, half the time they're not even branded. I bought an AB air conditioner last month and there wasn't a single Amazon logo on the box.

A maximal Amazon would eat all retail, but I don't seem them running hotels or hospitals. They could still cause plenty of problem if 1 in 4 people worked there, though.


they don’t run hotel and hospitals yet.

also GP was half serious/half joking and was talking about some point in the future, not today


Kind of reminds me of the corpo start in cyberpunk 2077


I'm terribly sorry to bring this up this way but: if Amazon is a bad employer, why are so many people working for this business? Is it because it's better than jobs with comparable wages (are others similar?)


People can work for awful companies. One example is the 35 suicides in a short period at France Télécom : https://fr.m.wikipedia.org/wiki/Affaire_France_T%C3%A9l%C3%A...


It pays better than other unskilled jobs, offers actual benefits like healthcare, and it's predictable but corporatized abuse.

It's not like a small retail shop where the manager gives you less shifts after you refuse a sexual advance, or a restauranta where you're working 3 more hours than your wage.


Most of Amazon's workforce does very narrow jobs. Robots will be doing picking and boxing as soon as Amazon can make that work. Then will come the massive layoffs. Except that Amazon turnover is so high, they will just be non-hires, so it will be invisible in statistics.


I wonder how it looks if you consider all the companies running on AWS and the engineers that only use AWS. 1 out of 153 working for Amazon, but I guess what I'm wondering is how many depend on AWS.


In that case you should also consider all vendors/suppliers who manufacture and ship for amazon either exclusively or >50% . That number would be lot larger than engineers on AWS.

Amazon's scale and reach is frighteningly massive.


AWS is the magic that allows Amazon to scale its operations. I wouldn't be surprised if the Retail business was getting discounted (possibly free) rates for AWS products.

If the US was serious about antitrust, breaking AWS from Retail would probably be the best thing it could do.


And McDonalds feeds 1% of the world every day.


And their main business is not food, but property: https://www.google.no/amp/s/qz.com/965779/mcdonalds-isnt-rea...


Actually, it's a pokemon card distributor: https://dotesports.com/news/players-are-sharing-positive-fir...



How come nobody's buying Brawndo the Thirst Mutilator? Aw, shit. Half the country works for Brawndo. Not anymore! The stock has dropped to zero and the computer did that auto-layoff thing to everybody. We're all unemployed!


Excluding the Post Office and the Military, 2 million people—just over 1% of the U.S. workforce or 0.6% of the total working population—are permanently employed by the federal government.


"The US has a population of 261 million and an employed non-farm workforce of 145 million, per the BLS"

Anyone know why the "non-farm workforce" is the number reported here?


It's nothing malicious; it's a common way to express employment figures. Farm payrolls tend to swell and contract seasonally (to pick/plant and much less work in-between) so "non-farm workforce" is a way of smoothing out the numbers.


That's a great explanation, thanks.

I found this too: https://www.stlouisfed.org/open-vault/2019/july/nonfarm-payr...


Now I'm curious how much Amazon's workforce expands seasonally.


What do lose by not considering farm workers?


Just to start off with, I'm not an expert; what I know is from my undergraduate days taking way too many economics classes. If someone is more knowledgeable feel free to call me out.

You're not losing much by skipping farm workers; as I noted above farm payroll changes seasonally, so skipping farm payrolls just helps to smooth the data - I suppose you could also consider it as another way to seasonally-adjust employment figure, although that is stretching the term quite a bit.

In addition farm hands for picking/planting are poorly paid and tend to have vague residency status (not making a political point, just economic reality) and so including that data does not change related figures such as GDP too much. It wouldn't surprise me if politics encourages the reporting of non-farm data due to the issue I mentioned above of vague residency status; see the current DACA fight for how contentious discussions like this can get.

TLDR the numbers work out better and nobody of importance cares about the difference


That's a million great poaching opportunities for recruiters if there's a better deal.

For scale, one in how many Americans is an Amazon consumer?


For comparison, and to show how much our economy has changed:

The Biggest Employers in 1955

1. General Motors Employees in 1955: 576,667 Employees today: 204,000 (as of 2010)

The No.1 car company in the US used to be the No.1 car company in the world. In 1955, GM had more than 50% of the American vehicle market and, between direct employees and those at suppliers, it was responsible for more than 3 million US jobs. GM has emerged from bankruptcy, but has fewer than half as many people, and its US market share is only 20%.

2. U.S. Steel Employees in 1955: 268,142 Employees today: 43,000 (as of 2010)

US Steel was the largest company in its industry worldwide and was among the Fortune 50 in 1955. A large portion of the steel manufacturing business has moved offshore, first to Japan and then China.

3. General Electric Employees in 1955: 210,151 Employees today: 304,000 (as of 2010)

General Electric is one of the few companies that has grown significantly over the last five decades. It was largely an industrial firm in 1955, and now makes a large amount of its revenue and profits from financial services.

4. Chrysler Employees in 1955: 167,813 Employees today: 58,000 (as of 2010)

Another car company that benefited from a very limited number of imports. The firm nearly went out of business during the 1980s recession and was rescued by the US government. It moved into Chapter 11 nearly two years ago.

5. Standard Oil Of New Jersey Employees in 1955: 155,000 Employees today: 102,700 (as of 2010)

Standard Oil of New Jersey was part of the original Standard Oil trust created by John Rockefeller. The company was merged into what eventually became Exxon Mobil.

Also Read: Apple’s Downfall: Android Sales

6. Amoco Employees in 1955: 135,784 Employees today: N/A

Another piece of the Rockefeller trust, the company was merged into BP America and is now part of BP plc.

7. CBS Employees in 1955: 117,143 Employees today: 25,580 (as of 2010)

The dominant force in both national radio and TV, the company also owned several large stations. As media has broken into more forms of delivery, including cable and Internet, CBS has grown smaller.

8. AT&T Technologies Employees in 1955: 98,141 Employees today: N/A

This division of AT&T handled the telephone company’s R&D was was spun out of AT&T completely in 1984.

9. Goodyear Tire & Rubber Employees in 1955: 95,727 Employees today: 69,000 (as of 2010)

The largest tire company in the world in 1955, Goodyear had large plants around the world. As competition from Japanese companies grew, the company went through several restructurings including a move into energy.

10. Firestone Tire & Rubber Employees in 1955: 90,000 Employees today: N/A

The second largest tire company in the world in 1955, Firestone was at one point the exclusive supplier to Ford. The company was sold to Bridgestone of Japan in 1988.

* From: https://247wallst.com/investing/2010/09/21/americas-biggest-...

NOTE: The above link was produced in 2010. In 2010, Amazon wasn't even in the top 10 of employers in the United States. And since 2010, some of the employers above have shrunk in size further.


This reminds me of the South Park episode where everybody works for Amazon to buy stuff from Amazon. What a wonderful world...


It's simple. Break up Amazon, Facebook, Walmart, Apple and Google.


> 1 out of every 153 American workers is an Amazon employee

Now do the government.


This couldn't possibly have negative consequences.


I stopped buying from Amazon a couple of years ago - not that I was a frequent shopper before that. I feel it is the same capitalistic dilemma all over again: exploit technology and as opposed to make technology a force for liberation use it as a weapon against labor and call it innovation.

We are in the beginning of our probably very long dystopia, where only the rich will be able to live a life off total surveillance and the rest will be sucked out of all remaining living traces for survival.

The only rule I live by is that I do not try to exert power over anyone that I would not wanted to be subjected to myself. Period.


What is that number for public servants?


How’s this relate to Wal-Mart?


So that is why they ended forced arbitration?


When AWS sneeze we all cough hard.


Company town meet company country.


So 0.65%? Not insignificant, but using “1 out of every 153” seems intentionally worded to sound more outsized and draw eyes.

I wish HN posters would stop encouraging this lowbrow form of journalism. For an educated community, people sure do love their cheap clickbait headlines here.


I think 0.65 of the country sounds similar in scale to me, and I would also naturally be curious as to what that means in terms of "how many people out of X"


Rant time.... ;-)

What's with these stupid "X in Y" numeric expressions that the dumb media insist on continuing to heap on the world ?

Why not consistently use a standardised means of comparison.

Like, I don't know .... percent. Or "X in 100" if you think your newspaper/blog/website readership are too dumb to know what the % symbol means. The clue's in the name FFS ... per... cent ... that's what its there for !


I generally agree with your sentiment, but not in this case. They're doing it here because fractional humans don't exist in real life, and the measure isn't being used for comparison.

"1 in 153 people" is easier for the human mind to visualize than "0.65 out of every 100 people."


Ratios and fractions are covered in (hopefully?) every grade school, usually right along side percentages. They're an entirely valid representation of data.

https://www.google.com/books/edition/6th_Grade_Math_Workbook...


You can't have a fraction of a person. The probability of having .65 out of 100 people working for Amazon is zero, no matter which 100 people you select. 1 out of 153 can at least happen.


We should start using the birthday paradox number (BPN) to express these things. That is, the smallest group of people such that the probability that at least one of them will exhibit the criteria is greater than 50%.

In this case, the BPN for working at Amazon is 107 (assuming everyone in the group is a worker).


X in <CONSTANT> is just the inverse of <CONSTANT> in X. Each is appropriate at different times. 0.0004 is the same as 1 in 2500. I feel like 1 in 2500 is more intuitive, and that's generally the case for rare events, because it is oriented around answering the question "how rare is this?"


"1 in Y" is simpler than "X in 100". 100 introduces an irrelevant big number.


I think OP's intuition is probably wrong and that "1 in Y" is more effective than "X%".

That being said, it is tricky to move the adjustment between the numerator and denominator, and there are cases where this choice can be key -- "25 miles per gallon" is indeed a far worse metric to use than "4 gallons per 100 miles".


I don't think I would see anything wrong with gallons per 100 miles if I was used to it. Especially if it was "gallons per megamile" or whatever.

You see (at least in the UK) dishwashers say they only use x litres of water per wash or even things like "this only costs 10p an hour running costs".

It feels like one less step to get to "how much would this car cost me for my 250 miles a week" - which seems more common than "I can afford exactly 2 gallons of petrol a week, how far can I get with this car".

Maybe I'd feel differently if we bought fuel in the same units we measured its consumption in!


I don't see anything wrong in measuring gallons per mile and measuring in yards and other non-metric systems when it's something local. Maybe it's convinient if you live somewhere where everybody accustomed to that.

It's when I see articles about space exploration with miles and pounds - it feels wrong.


It isn't if you know the capacity of your tank in gallons, and want to know how far you can drive on average before refilling it.

Or if you know the price of gasoline, and want to know how far you can drive for some amount of money.

In fact I'm struggling to come up with practical circumstances where gallons per 100 miles is what I'd want to know, could you explain why that seems better to you?


Fuel economy is typically printed the same place range already is computed =)

mpg is used to indicate fuel economy, comparing among cars. People might think -- do think -- that the difference between a 15mpg car and a 25mpg car is similar to the difference between a 25mpg car and a 35mpg car. But the difference is nowhere close in amount of gas saved per year of similar driving between the two. The former is a great boon to the environment and the pocketbook, but the latter is much more modest.


In Portugal (and I guess several other countries) fuel economy is defined as "how many liters per 100 km?". In Brazil it's "how many km per liter?".


> Equal increases in MPG are not equal in gas savings.

http://www.mpgillusion.com/p/what-is-mpg-illusion.html


Why is "1 in X" so much worse than "X in 100"?


Every time X goes up 1 in the first example, the amount that's actually changed is different. In the second, it's the same.

I've eaten 1/5 of the pizza. Now 1/4. Now 1/3. Slices are all different sizes.

I've eaten 20% of the pizza. Now 40%. Now 60%. Slices are the same.


It's not. They just need something to complain about.




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