Amazon set to shut three UK warehouses putting 1,200 jobs at risk

10 January 2023, 11:55

Staff at 3 Amazon centres could lose their jobs
Staff at 3 Amazon centres could lose their jobs. Picture: Alamy

By Emma Soteriou

Amazon has announced plans to shut three UK warehouses, putting around 1,200 jobs at risk.

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The firm launched consultations over the closure of three UK warehouses located in Hemel Hempstead, Doncaster and Gourock, in the west of Scotland.

All workers at the sites will be offered roles at other Amazon locations, it is understood.

Around 500 employees currently work at Amazon's Hemel Hempstead site and are expected to be offered roles at its nearby Dunstable warehouse.

Meanwhile, the 400 members of staff at Amazon's Doncaster site in Balby Carr Bank will be transferred to its two other fulfilment centres at Doncaster's iPort.

Around 300 workers currently based at the Gourock site will also be affected by the proposals.

Despite the closures, Amazon said it intends to open two new major fulfilment centres in Peddimore, West Midlands, and Stockton-on-Tees, County Durham, creating 2,500 jobs over the next three years.

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Amazon warehouse at Gourock, Greenock
Amazon warehouse at Gourock, Greenock. Picture: Alamy

A spokesman for the company said: "We're always evaluating our network to make sure it fits our business needs and to improve the experience for our employees and customers.

"As part of that effort, we may close older sites, enhance existing facilities or open new sites, and we've launched a consultation on the proposed closure of three fulfilment centres in 2023.

"We also plan to open two new fulfilment centres creating 2,500 new jobs over the next three years.

"All employees affected by site closure consultations will be offered the opportunity to transfer to other facilities and we remain committed to our customers, employees and communities across the UK."

Amazon fulfilment centre in Hemel Hempstead
Amazon fulfilment centre in Hemel Hempstead. Picture: Alamy

MP for Inverclyde, Ronnie Cowan, said the move was a "serious blow" to Gourock.

In a statement, he said: "Amongst the number crunching we must remember that 300 families are affected by the decision.

"They will be under enormous strain, and we must do whatever we can to help them find gainful employment and help them through a very difficult time."

He added: "It goes without saying that in the midst of a cost-of-living crisis this will come as a hammer blow to the staff and their families.

"Amazon has said it will try to re-deploy workers but has so far given me no firm commitment.

"I now want to see both the UK and Scottish governments intervene to see what measures an be taken in the light of this decision."

Staff at Amazon Fresh are at a higher risk of being let go
Staff at Amazon Fresh are at a higher risk of being let go. Picture: Alamy

Steve Garelick, GMB union organiser, said: "This is a real kick in the teeth for Amazon staff who worked themselves into the ground during the festive rush.

"Hard-up Amazon workers can't suddenly be expected to up sticks and move to a different fulfilment centre which may be many miles away. Local workers who may not be in a position to take roles so far away from where they live."

He claimed Amazon has "failed to bring a stable employment model due to their long-standing health and safety issues and poor workplace practices".

"To move forward with stability, Amazon needs to engage with the workforce through their union GMB," he added.

It comes after Amazon announced plans to axe 18,000 jobs globally last week in a bid to cut costs.

It is the biggest round of layoffs in the retail giant's history, though it is not clear yet how many roles will be lost in the UK.

Amazon said roles that will be affected the most include those across its stores, such as Amazon Fresh and Amazon Go, as well as its human resources division.

Chief executive Andy Jassy said in a note to employees, which was made public: "These changes will help us pursue our long-term opportunities with a stronger cost structure."

He blamed the move on an "uncertain economy", adding "we've hired rapidly over the last several years".

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