MANNHEIM, Germany (Reuters) – Amazon has begun hiring for a driver in Germany, and has plans to open 11 more centers to expand its delivery business in the second largest market for the company’s German logistics chief, said in an interview.
From the outside, of the Amazon logistics centre in Mannheim, Germany, on September 17, 2019. REUTERS/Ralph Orlowski
It is part of a global effort by the online retailer to build an air-to-air, sea and land transport is to provide faster deliveries, and I try to include the shipping costs, which have steadily increased as a percentage of the sales.
“If we are the last mile or so is in our own hands, we can offer more services, such as same-day delivery,” by Bernd Gschaider, Germany, managing director for Amazon Logistics, told Reuters in a storage facility outside the southern city of Mannheim, germany.
Gschaider said that the move was designed in order to help with the costs of the increased volumes, but it is a challenge for the large logistics companies such as Deutsche Post, DHL, Hermes and DPD, which, according to the e-commerce giant is up for a good portion of their parcel business.
It also comes at a time when the supply of companies in Germany, is now under fire for the actions of sub-contractors. Most of the major companies in the delivery, including the Amazon, in the service of the drivers of small-and medium-sized companies are subcontracted.
Police raids in February, one-third of the sub-contractors, the aim of the non-payment of the driver in the minimum wage, or from the creation of the right to social security deductions.
The German cabinet is expected to take place on Wednesday, on the adoption of the proposed legislation, logistics service providers are responsible for the behavior of their customers, and the imposition of fines and penalties if they are caught breaking the strict labor laws.
Gschaider said that the legislation would not have any impact on Amazon’s business as well as the all of the requirements that the contractors and their drivers don’t work for a lot of hours, and with its auditors to perform audits in order to verify that they are in compliance.
Amazon has launched its logistics operations in Germany in the year 2015, and is now working with four sorting centers and 13 distribution centers, of which shipments are ready for delivery.
Along with the extra the 11, the distribution of the plan is to have two hubs, this year, to help manage the christmas rush, as it is expanding its area of delivery is outside of the major cities and towns.
It’s new driver recruitment campaign in Munich for 200, in the first instance of the city, where logistics experts are saying it will be difficult to find staff for the delivery of courses due to the strong economy and low unemployment rate.
“We want to provide the support for the drivers that deliver Amazon shipments, the better it is. Since it will help us to gain a better understanding of their needs and will enable us to continue to improve the experience for all drivers,” Gschaider says.
He declined to comment on whether Amazon would extend the direct recruitment to the different parts of the country.
Amazon will pay its board members, 12.80 euro ($14.16 per hour, well above minimum wage in Germany, but it will still be less than most of the drop-off of the drivers. It will also have to invest in a new fleet of 50 electric vans and trucks.
Editing by Philippa Fletcher