Senator Bernie Sanders, the Ranking Member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, has sent a letter to Amazon founder Jeff Bezos seeking clarification on the company’s automation plans and their impact on American workers.
Recent reports from the New York Times indicate that Amazon is moving forward with efforts to automate its warehouses, which could result in over 600,000 jobs being replaced by robots. Reuters also reported that up to 30,000 layoffs may begin immediately as part of this transition.
Sanders addressed concerns about how technological advancements in robotics and artificial intelligence are changing the labor landscape. “The pace of technological advancement in robotics and artificial intelligence has rapidly increased in just the past few years. These revolutionary technologies raise fundamental questions about who will benefit from these changes,” Sanders wrote. “If Amazon succeeds on its massive automation plan, it will have a profound impact on blue-collar workers throughout America and will likely be used as a model by large corporations throughout America, including Walmart and UPS, to displace tens of millions of jobs.”
Financial analysts at Morgan Stanley project that automating warehouse operations could save Amazon between $2 billion and $4 billion annually starting in 2027. Company estimates suggest potential savings could reach $10 billion within a few years.
In his letter to Bezos, Sanders posed several questions: “Mr. Bezos: I have a simple question for you. What are Amazon’s plans to provide help and support for the many hundreds of thousands of workers you will be replacing with robots and AI? Are you going to simply dump these workers out on the street, or will you treat them with the dignity they deserve? Will you be providing a decent severance package for them? Will Amazon be maintaining their health care benefits? Will Amazon offer them a secure retirement plan? Or, will most of the savings and tax breaks simply be used to further enrich yourself and Amazon’s wealthy stockholders?”
He continued: “If Amazon and other large corporations replace tens of millions of workers with artificial intelligence (AI), robotics and other new technologies, who do you think is going to be able to buy the products you sell? Where are they going to get their income?”
Amazon’s automation strategy comes as it stands to receive an estimated $15.7 billion tax break this year under recent federal legislation known as Trump's "Big Beautiful Bill." The company also receives billions in federal contracts. Despite strong financial performance, many Amazon employees rely on government programs such as SNAP benefits, Medicaid, and affordable housing due to low wages.
Sanders concluded his letter by stating: “Given all the support that you have received from the taxpayers of this country, don’t you think that it might be appropriate to treat the American workers you are displacing with respect and compassion?”
