S business is conducted. with the worldwide presence of Amazon, it is hard to gine it might not understand that the cultural envi- moment in any country makes a big difference in how Just before a holiday shopping rush, Amazon learned regarding who speaks for employees. Amazon, as part the hard way that Germany has certain expectations employees--not through a union. However, in Germany, unions are very powerful and used to having a collab- orative relationship with companies, which has led to CHAPTER 11 LEARNING ABOUT INTERNATIONAL HUMAN RESOURCES MANAGEMENT 371 AT WORK WITH HRM 11.1 NOT AMAZON! Amazon had been doing business in Germany for almost 20 years and didn't see the need to make changes in how it dealt with its employees. The company felt that any thing coming between it and its staff slowed down opera- tions and innovation. Amazon has about 10.000 German workers in its distribution centres throughout the year and then hires an additional 10,000 during seasonal activity. of its operating style, is used to dealing directly with its The union, on the other hand, felt there is a social partnership between unions and employers and that Amazon was being unreasonable. All this was particularly troubling because Germans sector-wide labour agreements. tend to be eager online shoppers, and Germany is Amazon's Although there had been a series of walkouts at the largest market after the United States. Many experts saw it Amazon Warehouse for almost a year, the action escalated as a clash of German society and US arrogance. when the employees staged a strike in Amazon's busiest shopping season. The union, Verdi, wanted to begin CRITICAL THINKING QUESTIONS: collective bargaining to establish a collective agreement 1. Do you think Amazon ought to conform to the cul- that would result in wages higher than in other retail ture of relationships with unions in Germany? Why sectors. Amazon, however, believed its wages were in or why not? line and competitive for the type of work being done in 2. What might happen if the strikes and confrontation the warehouse. continue? Explain your answer. Source: Adapted from Joanna Slater, "Amazon.com's German Culture Clash, The Globe and Mail, December 23, 2014.B1