Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Amazon to close French warehouses until next week after court order

Stock MarketsApr 15, 2020 10:56AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: A truck bearing the Amazon Prime logo arrives at the Amazon logistics center in Lauwin-Planque

By Mathieu Rosemain and Gwénaëlle Barzic

PARIS (Reuters) - Amazon (NASDAQ:AMZN) will close its warehouses in France until at least early next week after a court ordered it to limit deliveries to essential goods such as food and medical supplies.

In an internal document sent to French unions ahead of a meeting on Wednesday afternoon, Amazon said it planned to close the country's six warehouses, which employ 10,000 permanent and interim workers, from April 16 until April 20 at least.

"The company is forced to suspend all production activities in all of its distribution centers in order to assess the inherent risks in the COVID-19 epidemic and take the necessary measures to ensure the safety of its employees (during that period)," Amazon said in the document seen by Reuters.

During the suspension, Amazon will tap a state partial unemployment scheme to pay its employees, the group said in the internal document.

Amazon's French subsidiary did not return calls seeking comments.

The world's largest online retailer is facing mounting scrutiny on both sides of the Atlantic of the health measures it has put in place to protect employees from the coronavirus while it deals with a surge in online orders.

With most shops in France shuttered as the government tries to contain the pandemic, the closure of the warehouses will likely disrupt deliveries across the country.

In a ruling on Tuesday, a French court said Amazon had to carry out a more thorough assessment of the risk of coronavirus contagion at its warehouses and should restrict its deliveries in the meantime, or face a fine.

"We're puzzled by the court ruling given the hard evidence brought forward regarding security measures put in place to protect our employees", Amazon said in a statement.

"Our interpretation suggests that we may be forced to suspend the activity of our distribution centres in France," the group said, adding it would appeal the decision.

The case followed a complaint filed by Union Syndicale Solidaires, a French group of trade unions.

Some of them had called for the complete closure of Amazon's activities in France, or at the very least a clampdown, after raising concerns over health standards at its shipping sites, arguing they were too crowded.

Amazon currently employs close to 10,000 people at its six French warehouses, 6,500 of whom are on permanent contracts, according to the court decision.

Cases of COVID-19, the flu-like infection caused by the virus, have been reported among staff from at least 19 Amazon warehouses in the United States and the company has been hit by high-profile protests at several warehouses there.

Amazon to close French warehouses until next week after court order
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email