Fears for Amazon workers as company rolls out robots that automatically pack orders
AMAZON will begin rolling out machines to automate the jobs held by thousands of its workers, it’s been revealed today.
New technology designed to box up customer orders has already been added to a handful of warehouses.
The machines are said to scan goods coming down a conveyor belt and envelope them seconds later in boxes custom-built for each item, two Amazon workers told Reuters.
Two machines at dozens more warehouses may be installed, removing at least 24 roles at each one, people working on the project said.
These facilities typically employ more than 2,000 people.
JOB CUTS
That would amount to 1,320 job cuts across 55 US fulfilment centres for standard-sized inventory.
The multinational, famous for its drive to automate as many parts of its business as possible, is pushing to reduce labour and boost profits.
However, automation of the most common warehouse task – picking up an item – is still beyond its reach.
The company is one of the largest employers in the US, having opened new warehouses and raised wages to attract staff in a tight labour market.
Recent reports emerged over ‘hellish’ workplace conditions with some workers have just nine seconds to package an item.
An Amazon spokeswoman said: “We are piloting this new technology with the goal of increasing safety, speeding up delivery times and adding efficiency across our network.”
“We expect the efficiency savings will be re-invested in new services for customers, where new jobs will continue to be created.”
ROBOTIC FUTURE
Amazon recently downplayed its automation efforts, saying a fully robotic future was far off.
The online retailer aims to create a leaner workforce and will one day refrain from refilling packing roles, a source said.
The new machines, known as the CartonWrap from Italian firm CMC Srl, pack much faster than humans.
They crank out 600 to 700 boxes per hour, or four to five times the rate of a human packer, the sources said.
CMC declined to comment.
Amazon has said the latest round of automation is not focused on speed.
A spokesperson said: “It’s truly about efficiency and savings.”
Amazon’s technology suite will be able to automate a majority of its human packers.
Five rows of workers at a facility can turn into two, supplemented by two CMC machines and one SmartPac, the person said.
The company describes this as an effort to “re-purpose” workers, the person said.
MACHINE TRENDS
Amazon is not alone in testing CMC’s packing technology.
Other e-commerce behemoths such as JD.com Inc and Shutterfly Inc have used the machines as well, the companies said.
Walmart Inc started 3.5 years ago and has since installed the machines in several US locations, according to a person familiar with its pilot.
The company declined to comment.
MOST READ IN NEWS
One of the major problems in the logistics industry is finding a robotic hand that can grasp diverse items without breaking them.
Amazon employs countless workers to stow inventory, pick customer orders and grab those orders, placing them in the right size box and taping them up.
Many venture-backed companies and university researchers are racing to automate this work.
The machines have the potential to automate far more than 24 jobs per facility, one of the sources said.
“A ‘lights out’ warehouse is ultimately the goal,” one of the people said.
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