Amazon is running an advertising blitz to woo British workers as fears grow that new immigration rules will hammer its ability to hire low-skilled employees from abroad, leading to thousands of vacancies.
The company has stepped up efforts to burnish its credentials to Britons in the past few months amid a looming staffing crisis.
It has long relied heavily on workers from the European Union – previously suggesting in a report that as many as half of its entry-level packing staff came from the bloc.
But the firm could be barred from hiring new migrants to help run its vast warehouse network under the UK’s new points-based immigration regime.
Amazon is running an advertising campaign in Britain for its warehouses as part of a push to counter claims around poor working conditions.
A company web page describing the logistics arm promotes its ethical standards to shoppers and jobseekers alike, telling would-be staff that they can enjoy “industry-leading benefits and support programs”.
The firm insisted it is operating business as usual but added: “As will be the case with the sector as a whole, we are monitoring the situation.”
It came as the UK Warehousing Association said that immigration restrictions will ultimately drive up prices for consumers, particularly if firms are forced to pay more to attract Britons.
Peter Ward, chief executive of the association, said: “The logistics industry operates on the narrowest of margins.
“It is hard to see how any significant across-the-board pay increases for low-skilled staff could be introduced without passing on the additional costs, unless the days when online shoppers expect low priced goods with cost-free and immediate delivery become a thing of the past.”
As its warehouse estate across Britain grew to more than 20 million sq ft, Amazon became a major recruiter of EU citizens.
A report from 2017 suggested around half of the most junior staff were from within the bloc, equal to more than 7,000 people at the time.
It said these workers were not classed as skilled under government rules, meaning they would struggle to get the 70 points needed to come and work in the country. In total, Amazon employs around 30,000 people across the UK.
Tamara Hill, of the British Retail Consortium (BRC), said: “Digital retailers rely on the smooth operation of their supply chains to deliver a seamless service for their customers.
“Key roles which historically have had high numbers of EU colleagues include warehousing staff and delivery drivers.”
Amazon staff start on an hourly rate of £9.50, above the minimum wage.
However, the US tech titan has long been dogged by claims of poor practices. Last year it was accused by union GMB of fostering “unsafe” and “appalling” conditions where employees urinate in plastic bottles rather than risk going to the toilet.
The company has always insisted it is a good employer. It has commissioned a series of print and TV adverts which feature workers praising the company, and has even opened up its facilities for the public to visit.
Amazon has been a vocal opponent of tighter immigration restrictions, telling ministers in a consultation after the Brexit referendum that leaving the European Union will make recruitment challenges even worse for a range of British businesses.
It said London and the South-East of England would be hit hardest, while small and medium-sized companies will suffer as they often have no in-house immigration or legal teams.
Previously, the firm said: “While Amazon is committed to continued investment in the UK, uncertainty as to our businesses’ ability to remain operational and successful in the UK, particularly during peak periods, is a very high concern for the company.”
Other industries have also raised concerns. The Confederation of British Industry and British Chambers of Commerce have both said that the changes could cause a serious problem.
The new immigration plans will be brought in later this year and are intended to limit the number of low-skilled workers entering the UK.
Ministers said the new system will mean only those paid more than £26,500 and taking skilled roles will be granted a work visa. EU citizens already in the UK will be able to apply for settlement scheme status, and no foreign workers in Britain currently employed by Amazon will have to leave.
Announcing the proposals earlier this week, Home Secretary Priti Patel said the Government wants to “encourage people with the right talent” to come to the UK.
However, the BRC said the move was disappointing. It said: “Government has not understood the needs of business and the vital contribution these roles play in the plans they announced this week”.
Ministers had suggested businesses in the logistics space hike levels of pay and invest more in automation, in order to make them less reliant on overseas workers.
