Amazon’s Big Return: Inside the Return-to-Office Mandate
Amazon, the world’s largest online retailer, has made headlines with its return-to-office (RTO) policies and employee monitoring. Amazon’s employee policies and monitoring have sparked significant debates and reactions from both employees and regulatory bodies.
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Amazon's Return-to-Office Policy
Amazon has been actively pushing its corporate employees to return to the office. CEO Andy Jassy announced that hybrid employees should be in the office at least three days a week and introduced strict measures to ensure compliance with the policy. According to leaked documents, employees who failed to meet this requirement faced the possibility of termination, and those seeking promotions needed to adhere to the in-office mandate unless granted special permission by a vice president.
The rationale behind this policy, according to Amazon, is to foster better long-term results for the company’s customers, business, and culture. An Amazon spokesperson emphasized the importance of employees spending quality time with their colleagues to enhance collaboration and productivity.
A significant concern that Amazon sought to address with its RTO policy is the practice of "coffee badging." This term refers to hybrid employees who clock in, grab a coffee, socialize briefly, and then leave the office. To combat this, Amazon began tracking the number of hours employees spent in the office, setting minimum time requirements for attendance to count. According to leaked Slack messages, some teams were required to stay for at least two hours, while others had a six-hour minimum.
Employee Monitoring Practices
Amazon’s efforts to enforce its RTO policy are part of a broader trend of employee monitoring. The company has been using various tools to track employee attendance and productivity for years. This includes monitoring badge swipes to ensure employees are in the office and tracking the speed and efficiency of warehouse workers using scanners.
The French Data Protection Authority (CNIL) recently fined Amazon €32 million for what it deemed “excessive” monitoring of its warehouse employees. The CNIL criticized Amazon for tracking the speed at which items were scanned, the duration of scanner downtime, and the length of scanner interruptions. The CNIL found these measures to be excessively invasive and disproportionate, particularly the retention of collected data for 31 days.
Amazon defended its practices, arguing that such monitoring systems are industry standards necessary for ensuring operational safety, quality, and efficiency. However, employee monitoring, especially in the context of remote work, has been a contentious issue. A report revealed that 96% of remote companies in the United States use some form of employee monitoring software.
Employee Reactions
Employee reactions to these measures have been mixed. While some see the value in carefully collected data for improving organizational efficiency, others feel that it infringes on their privacy and autonomy. Monitoring can lead to lower morale, increased anxiety, faster burnout, and higher turnover rates.
Research indicates that the way supervisors use monitoring data significantly affects their relationships with subordinates. When used for control and performance evaluation, monitoring can erode trust and increase deviant behaviors among employees. On the other hand, when used for developmental feedback, it can maintain positive relationships and enhance performance.
To mitigate the negative impacts of monitoring, organizations can lead with transparency, focus on employee development, and highlight the benefits of monitoring. Organizations should clearly communicate the purpose and scope of monitoring to employees. Transparency helps build trust and sets the right expectations. Additionally, using monitoring data for developmental feedback rather than punitive measures encourages employees to see monitoring as a tool for growth. Emphasizing the positive aspects of monitoring, such as improved efficiency and opportunities for remote work flexibility, can help balance the perceived loss of autonomy.
Looking Forward
Amazon’s stringent return-to-office policy and extensive employee monitoring practices reflect broader industry trends but have also drawn significant scrutiny and criticism. While these measures aim to enhance operational efficiency and productivity, they must be balanced with considerations for employee privacy, morale, and trust. By adopting a transparent and developmental approach to monitoring, organizations can achieve their goals without undermining employee well-being and supervisor-subordinate relationships.
In the Classroom
This article can be used to discuss remote work (Chapter 9: Motivating the Workforce).
Discussion Questions
1. Describe the term "coffee badging" and explain how Amazon has addressed this issue among its employees.
2. How can organizations balance the benefits of employee monitoring with the potential negative impacts on employee morale and trust?
3. In your opinion, is Amazon’s return-to-office policy reasonable? Why or why not?
This article was developed with the support of Kelsey Reddick for and under the direction of O.C. Ferrell, Linda Ferrell, and Geoff Hirt.
Chase Thiel, Shawn McClean, Jaron Harvey, and Nick Prince, "Surveilling Employees Erodes Trust — and Puts Managers in a Bind," Harvard Business Review, February 20, 2024, https://hbr.org/2024/02/surveilling-employees-erodes-trust-and-puts-managers-in-a-bind
Dexter Tilo, "Amazon Fined for 'Excessive' Employee Monitoring," Human Resource Director, January 24, 2024, https://www.hcamag.com/us/specialization/employment-law/amazon-fined-for-excessive-employee-monitoring/474239
Emily Rella, "Amazon Is Reportedly Tracking 'Coffee Badging' Workers and Their Real In-Office Hours," Entrepreneur, July 17, 2024, https://www.entrepreneur.com/business-news/amazon-tracking-coffee-badging-workers-in-office-hours/477256
Francisco Velasquez, "Amazon Wants Employees to Come to the Office—and Stay There," Quartz, July 16, 2024, https://qz.com/amazon-tracking-office-hours-prime-day-1851595080