Exposing Exploitation
Verité Investigation Unearths Violations: Amazon Agrees to Pay $1.9 Million
According to CNBC, Amazon agrees to pay $1.9 million to more than 700 migrant workers in Saudi Arabia. This comes after claims of human rights abuses due to unfair labor contracts. Amazon looked into the issue with the help of Verité, an outside expert on labor rights finding practices violating the company’s standards in two Saudi warehouses. The mistreatment of workers especially from Nepal, was first exposed by Amnesty International and media investigations. These workers faced deception by recruiting agencies, had to pay illegal fees, and lived in overcrowded and dirty conditions. Amnesty even suggested this could be seen as “human trafficking for labor exploitation”.
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Acknowledging Failures and Pledging Reform
In response, Amazon admitted to the problems in a blog post and Amazon agrees to pay $1.9 million. They conducted audits and identified issues with a labor vendor called Abdullah Fahad Al-Mutairi Co. (AFMCO). Amazon confirmed that AFMCO is working to fix the serious concerns, including upgrading living conditions. AFMCO has committed to paying workers as per their contracts after they finish at Amazon and ensuring accommodations meet Amazon’s standards. This incident adds to the ongoing scrutiny of Amazon‘s treatment of its workers with concerns raised by lawmakers and advocacy groups. It highlights the challenges companies face in ensuring fair practices across their global supply chains.