Amazon reportedly has a plan to replace more than half a million U.S. workers with “cobots,” and avoid hiring at least 160,000 human workers by 2027.
Despite hoping to double the number of products Amazon sells by 2033, executives are said to believe robotic automation could save them the trouble of hiring 600,000 people in the long run, according to internal documents obtained by the New York Times.
Insiders at the multitrillion-dollar retailer allegedly think that referring to their robots as “cobots” — a term that implies collaboration with humans — could soften the blow.
The company currently employs around 1.2 million U.S. workers and intends to add 250,000 more ahead of the holiday rush.
However, it’s unclear how long new hires will be needed as documents reportedly show Amazon’s robotics team hopes to eventually automate 75% of its operations.
An Amazon spokesman told the Daily News that the documents being referenced don’t tell the whole story with regards to its overall personnel plan.
“Leaked documents often paint an incomplete and misleading picture of our plans, and that’s the case here,” the spokesman said. “In this instance, the materials appear to reflect the perspective of just one team and don’t represent our overall hiring strategy across our various operations business lines — now or moving forward.”
Vice President of Worldwide Operations Udit Madan has said he hopes the role of human workers will adapt to fit the changing times as robots do the heavy lifting. He’s claimed that the money the company saves from automation helps to create new higher-paying jobs, such as positions for robotic technicians.
Madan said that since 2019, nearly 5,000 people have gone through Amazon’s mechatronics apprenticeship program, and that investing in upskilling its workforce is “something close to my heart.”
Amazon already appears to be bracing itself for potential fallout by launching goodwill initiatives like Toys for Tots drives and parades to enhance its public image.
A company spokesman told the Times that its alleged efforts to appear as a “good corporate citizen” is unrelated to automation that may take jobs from the very communities it plans to engage.
Amazon said it has taken issue with the Times suggesting that it plans to essentially replace human workers with robots.
“The facts speak for themselves: No company has created more jobs in America over the past decade than Amazon,” a spokesman told The News.