Workplace health is crucial for both employees and employers. Employees need to prioritize their well-being since they spend a significant portion of their lives at work. Meanwhile, employers recognize that worker health directly impacts productivity.
The Canadian Human Resources Professionals Association reports that absenteeism and presenteeism cost Canadian businesses approximately $16.6 billion annually.
Promoting healthy employee lifestyles through workplace health initiatives is vital. Such programs can yield significant benefits, including a reduction in absenteeism and healthcare costs by over 25%. Investing in employee health is economically sound for organizations that benefit from a healthy workforce.
However, not all companies prioritize employee well-being. Some large corporations, like Amazon, have faced criticism for their health practices. For instance, Amazon has been accused of replacing burnt-out employees to maintain a steady influx of healthy workers.
Amazon’s unhealthy record
Amazon’s track record regarding employee health and safety has drawn significant scrutiny. Various media outlets and worker rights organizations have highlighted the elevated injury rates among Amazon employees, often nearly double that of comparable workplaces.
A 2019 report from the National Council for Occupational Safety and Health revealed alarming statistics. It documented 13 fatalities among Amazon workers in the United States between 2013 and 2019.
Amazon has faced criticism for its apparent disregard for labor retention, evident in its remarkably high labor turnover rate of 150 percent—nearly double the industry average in retail and logistics.
One contributing factor to this turnover is Amazon’s aversion to cultivating a “tenured workforce,” where employees remain with the company for extended periods. Low-skilled positions are often treated as short-term roles, a strategy aimed at sustaining productivity levels and preventing wage escalation.
Increasing worker well-being
Recognizing the importance of employee well-being, even Amazon, under former CEO Jeff Bezos, acknowledged the necessity of enhancing its value proposition and aspiring to be the “Earth’s best employer.”
In 2021, Amazon introduced its WorkingWell initiative, aimed at promoting global workplace health and safety, with a goal of reducing accidents at its warehouses by 50 percent.
While Amazon has made strides in prioritizing worker well-being, some initiatives have faced criticism. Among these is the introduction of AmaZen booths, small compartments intended for employees to engage in well-being activities like guided meditations and positive affirmations. However, these “coffin-sized” booths have been met with skepticism due to concerns about their effectiveness and the overall work environment.
The AmaZen booths initiative faced criticism amid reports of Amazon employees resorting to urinating in plastic bottles due to limited bathroom breaks. The promotional video for the booths was swiftly removed following the backlash.
However, Amazon reported a decrease in accident rates in March 2023, with rates lower than industry averages for similar-sized employers. Earlier this year, the company announced a $750 million investment in worker safety initiatives.
The True Cost of Health Care
Neglecting workplace health carries significant societal implications, as work significantly influences both physical and mental well-being.
Although not all face extreme work conditions, the adverse health effects of work impact individuals and society alike.
In Canada, 70% of health-care costs are covered by public tax revenues, including personal and corporate taxes and payroll levies. In 2019, public health care cost taxpayers $172 billion, likely surging due to the pandemic’s effects.
Assessing the exact portion of public health-care costs stemming from work-related health issues remains challenging. While individual taxpayers contribute to these expenses, so do corporations like Amazon.
Amazon’s disclosed Canadian tax contribution of $431 million in 2023 raised concerns about its profit-shielding tactics. By employing a complex network of subsidiaries, Amazon seeks to minimize taxable profits.
Neglecting employee health in favor of productivity transfers economic burdens to taxpayers. Moreover, it evades the crucial responsibility of ensuring a safe and healthy work environment.