Business
Amazon Union Push Falls Short at North Carolina Warehouse
Amazon workers voted overwhelmingly against a bid to unionize their North Carolina warehouse, the National Labor Relations Board said on Saturday, the latest setback in labor organizing efforts at the e-commerce giant.
Workers at the RDU1 fulfillment center in Garner, outside of Raleigh, voted 2,447 to 829 against unionizing with Carolina Amazonians United for Solidarity and Empowerment, or CAUSE, an upstart union founded by warehouse workers in 2022.
Organizers at the warehouse, which employs more than 4,000 people, sought starting wages of $30 an hour. The current pay range is about $18 to $24, Amazon said. The union also demanded longer lunch breaks and increased vacation time.
In a statement, leaders of CAUSE said the election outcome was the result of Amazon’s “relentless and illegal efforts to intimidate us.” They did not say whether they would challenge the outcome, but vowed to keep trying to organize.
Eileen Hards, a spokeswoman for Amazon, wrote: “We’re glad that our team in Garner was able to have their voices heard, and that they chose to keep a direct relationship with Amazon.”
Leading up to the election, the worker-led union filed charges with the labor relations board accusing Amazon of interfering with employees’ protected union activity. The company gave preferential treatment to workers who did not support the union, according to the charges filed by CAUSE. Amazon also unfairly fired the co-founder of the union one week before workers filed for a union election in December, CAUSE said in a filing.
Amazon denied any election interference. Employees have the choice of whether to join a union, and the company talks “openly, candidly and respectfully” about unionization, Ms. Hards said before the vote. She said the CAUSE co-founder had been fired for “repeated misconduct that included making derogatory and racist comments to his co-workers.”
Addressing demands voiced by the union, Ms. Hards said the company already offered safe workplaces, competitive pay, industry-leading benefits and consistent scheduling. The CAUSE union, she added, “has no experience representing workers or their interests.”
On top of what they characterized as resistance from the company, organizers at the warehouse faced an environment in the South that has historically been hostile to unions. According to the Bureau of Labor Statistics, union membership in North Carolina last year was 2.4 percent, the lowest rate in the country and far below the national average of 9.9 percent.
Amazon has aggressively fended off union campaigns and stalled the bargaining process in multiple segments of its business, including warehouses, delivery operations and grocery stores.
In 2022, workers at a Staten Island warehouse in New York voted to form Amazon’s first union in the United States; it is now affiliated with the Teamsters union. Amazon has challenged the election outcome in court, and has refused to recognize the union or bargain with it. Delivery drivers, who work for third-party package delivery companies serving Amazon, have also mounted campaigns with the Teamsters.
The Trump administration’s moves at the labor relations board since the inauguration — including the replacement of the general counsel appointed in the Biden administration, who was considered friendly to labor — could further embolden employers to clamp down on organizing and refuse to bargain, labor law experts said.
Workers at a Philadelphia location of Whole Foods Market voted in January to affiliate with the United Food and Commercial Workers union, establishing the first union beachhead at the Amazon-owned grocery chain. In a filing with the labor board challenging the election, the company cited President Trump’s firing of a Democratic board member, which stripped the board of a quorum necessary to issue decisions.
In January, Amazon said that it was closing its warehouse and logistics operations in the Canadian province of Quebec, where unions had gained a foothold among some Amazon workers, and that it would lay off 1,700 employees.
The North Carolina election is not the first unsuccessful union bid among Amazon warehouse workers. In 2021, workers at a warehouse in Bessemer, Ala., voted against unionizing, but labor officials later ruled that Amazon had illegally influenced the election. Workers voted a second time in 2022, but the outcome was too close to call, prompting a labor judge to order a third election. That vote has yet to be held, and Amazon has denied wrongdoing.
“Ultimately, the biggest thing that we’re fighting for is dignity,” Italo Medelius-Marsano, a member of the CAUSE organizing committee who works at the RDU1 ship dock, said before the vote. “We’re making sure Amazon knows that we are human beings,” he said, citing the movement’s catch phrase: “I am not a robot.”
Business
Ted Chen, longtime NBC4 News reporter, trades journalism for a future as a Christian pastor
Forget reporter Ted. Call him Pastor Ted now.
Ted Chen, a familiar face on NBC4 News in Los Angeles since 1995, signed off for the last time Wednesday evening before setting off on a new path as a Christian minister.
“Many of you know I’ve been in seminary for the last several years,” he said, sitting with co-anchors Colleen Williams and Michael Brownlee after watching a video tribute to his time in front of the camera. “I got my master’s in Christian studies, and right now I’m pursuing my doctorate, my doctorate of ministry. And so, yeah, I’ll be graduating to full-time ministry beginning tomorrow.”
Even so, after 30-plus years in high gear, he might need a minute. But Chen said he’s looking forward to “a little slower pace and a chance to dig deeper” moving forward — that and not having to tell his wife he has to rush off on short notice for work.
“I’m gonna miss it, definitely,” he said. “I tell people, there’s an adrenaline shot to this, to being part of this business. There’s a serious, heavy responsibility that I took over the years.”
Chen’s career took him from Reno to Fresno to San Diego over those years and finally to L.A., where his favorite assignment wound up being the 2008 Summer Olympic Games in Beijing.
“It was China’s first Olympics and I remember how proud my parents were. … They were just so excited,” he said. “And it was just so meaningful to see that moment for China, and to go into the countryside and cover the plight of farmers.”
Chen also enjoyed all the awards shows he worked — hey, who says a reporter has to have gravitas all the time? — and said that “as a Trekkie,” his favorite celebrity interview was with the actor Leonard Nimoy.
“I normally don’t get starstruck,” Chen said, “but — him. Mr. Spock.” Whoo-ee.
In the goodbye video, Hetty Chang, NBC4’s Orange County reporter, remembered the moment she realized Chen was something special to the people of Los Angeles.
“When I first rode in the Golden Dragon Chinese New Year parade with him, I looked at him and thought, ‘Are you moonlighting as a movie star?’ ” she said. “Because people were stopping our car, our little float, and [they were saying things] like, ‘Stop the car! I want to take a picture with Ted Chen!’ ”
Chen’s wife, Ariell, wrote “I’M SO PROUD OF YOU” in an Instagram story on Thursday urging followers to watch his on-air send-off. The two met each other cross-country through a matchmaker after she, then Ariell Kirylo, had moved away from the L.A. area. They found they shared a “spiritual home” — Vintage Church in Santa Monica.
“That was certainly an interesting twist,” she told California Wedding Day, “to know we were in each other’s vicinity all along, but it took me moving to D.C. to call a matchmaker based out of Florida to meet a man at my church in L.A.! And they say dating in L.A. is hard.”
The veteran reporter elicited major respect from the people he worked with, all the way up to Marina Perelman, vice president of news for NBC4. “Ted’s career path has always been grounded in service and purpose. Over his 30 years with NBC4, he has covered remarkable stories and contributed to what he has often called the best newsroom in town. He is one of the people who truly make it that way,” she said Thursday in a statement.
“From his annual tradition of bringing cookies to the assignment desk to the kindness, compassion, and grace he shows every colleague and every person he meets, Ted embodies the very best of our newsroom culture.”
Chen put things in perspective himself on his final day in the newsroom, borrowing a page from all those athletes he’d seen over the years and telling Brownlee and Williams after all their kind words, “I’ll take the encouragement — and give God all the glory.”
Business
Uber — a target of car crash lawsuits — pushes for law to limit California lawyer fees
The long-simmering fight between some of L.A.’s best-known billboard attorneys and Uber, one of their most frequent targets, is poised to spill out of the courtroom and onto the November ballot.
The ride-share giant is gathering signatures for an initiative that, if passed by voters, would cap how much attorneys can earn in vehicle collision cases. The company pledges the change will give victims a larger cut of their settlement money, alleging predatory attorneys are inflating medical bills to increase their own profits.
Lawyers claim it will decimate their lucrative niche — car crash lawsuits in the automobile haven that is California — and ultimately leave thousands of people with small or challenging cases unable to sue because they can’t find an attorney.
This fight, lawyers say, is existential.
Attorneys from Sweet James and Jacoby & Meyers — the names and faces of which will be imprinted in the minds of most California drivers — have given almost $1 million to a committee opposing the ballot measure, according to campaign filings. Dozens of other deep-pocketed attorneys have joined, raising an impressive war chest already surpassing $46 million.
“Uber knows darn well what they’ve done,” said Nicholas Rowley, among those leading the opposition. “This law is designed to wipe out ordinary working people’s ability to get representation.”
Attorneys have condemned the fee cap as a Trojan horse meant to trick voters into wrecking the delicate math behind personal injury lawsuits. Currently, personal injury attorneys typically take 33% to 40% of a client’s payout. That is enough, they say, for them to earn a living and risk taking cases on a contingency fee basis — meaning, if they lose, they don’t get paid.
Uber’s proposal would cap attorney fees for car crash cases at 25% and require extra costs — filing fees, depositions, experts — to be calculated before the fee split rather than coming out of the client’s portion.
The two sides have conflicting views of who would be expected to pay for medical fees, which often drain a significant portion of an injured client’s payout. Attorneys said in order to guarantee clients get 75% of the money, lawyers will have to foot the bill for these medical costs, opening the possibility they would walk away with nothing. Uber said the question of who covers medical costs is “not contemplated by the measure” andit expects clients would pay.
The measure would tightly limit what medical expenses can be claimed and curb most damages to rates based on insurance. A doctor-led political action committee opposing the measure has raised more than $4 million, according to campaign finance records, arguing it will prevent Californians from getting treatment.
Uber said in a statement that nothing in the measure prevents car accident victims from securing doctors and lawyers. Instead, the company said, the measure is aimed at tackling a perennial problem in California’s legal system: attorneys pushing car crash victims into expensive surgeries in order to fatten their fees. The only Californians impacted, Uber claims, will be “shady billboard lawyers whose business model relies on abusing auto accident victims for their own personal gain.”
“Californians deserve a system that prioritizes victims over billboard lawyers,” said Adam Blinick, Uber’s head of public policy. “Capping attorney fees, banning kickbacks, and ending inflated medical billing are common-sense reforms that will protect auto accident victims and lower costs, and we’re confident voters will agree.”
Uber has poured fuel on the fire with federal racketeering lawsuits targeting both Downtown LA Law Group, or DTLA, and Jacob Emrani, two prominent personal injury law offices in Southern California. The lawsuits allege the attorneys had “side agreements” with certain doctors to inflate medical bills for unnecessary procedures to get a larger payout.
In an Instagram post, DTLA called the lawsuit a “calculated attempt by a billion-dollar corporation” to suppress legitimate claims. An attorney representing Emrani called it meritless and part of a campaign “to shut the courthouse doors to victims injured by Uber drivers.”
Gearing up for a fight, Consumer Attorneys of California, a powerful trial lawyer trade group, is pushing three ballot measures of its own, including one seeking to increase legal liability for ride-share companies if a passenger is sexually assaulted by a driver and the other aiming to nullify the fee-capping measure if it passes. Billboards have sprung up across Los Angeles reminding Californians that Uber is the subject of a string of recent New York Times investigations into sexual assault by drivers.
A billboard on West Pico Boulevard and Vermont Avenue in Los Angeles informs passersby of sexual assaults reported to Uber.
(Jason Armond/Los Angeles Times)
The company said it has invested billions in keeping riders safe and has “done more than any other company to confront” sexual violence.
Consumer Watchdog, a consumer advocacy group that sponsored some of the billboards and receives funding from trial attorneys, put out a “consumer alert” branding the fee cap as a “license to kill” measure, claiming it would ultimately pave the way for Uber to move forward with robotaxis without worrying about getting sued. Uber said this was “flat-out untrue” and the measure has nothing to do with autonomous vehicles.
The push by Uber comes at a tense point for California’s legal bar. The Times reported this fall on private investors looking to bankroll California sex abuse cases, and separate allegations of fraudulent lawsuits and unethical conduct by Downtown LA Law Group, a firm known for car crash lawsuits that played a prominent role in L.A. County’s $4-billion sex abuse settlement.
DTLA has denied all wrongdoing and said it operates “with unwavering integrity, prioritizing client welfare.”
Some attorneys worry about how voters will perceive their industry when it’s time to cast ballots.
“I’ll tell you straight up, we could do a better job policing ourselves,” said Rowley, who said he believed the State Bar had historically been weak on California lawyers. “It creates a situation where Uber can do what it’s doing.”
The exterior of Downtown LA Law Group in Los Angeles.
(Carlin Stiehl/Los Angeles Times)
Calls for reform within California’s legal community have gained momentum in recent months.
Joseph Nicchitta, the county’s interim chief executive officer, called on the State Bar to implement “badly needed ethical reforms” that would make big personal injury cases less profitable for lawyers. Attorney and business advocacy groups have made public pleas to keep private equity out of the state’s legal landscape, worrying it fuels frivolous lawsuits. Gov. Gavin Newsom has similarly expressed unease.
“Our legal system is meant to provide justice, transparency, and accountability — not a business model that uses survivors of abuse or trauma as a revenue stream,” said a spokesperson for the governor. “California can — and must — hold two truths at the same time: standing unequivocally with survivors and victims, while also demanding integrity within the law firms and other businesses that work within our legal system.”
Californians unhappy with problem law firms already have a way to ding them without the ballot measure, Uber’s opponents argue. A new law went into effect Jan. 1 giving private citizens the right to sue an attorney for unethical practices. Many such practices are already illegal but seldom prosecuted. That includes advertising containing false promises and using third parties to solicit clients.
The Times reported this fall that nine plaintiffs represented by Downtown LA Law Group were paid by recruiters to sue the county for sex abuse in juvenile halls, four of whom said they were told to make up claims. The firm has denied paying anyone to file lawsuits.
“This is exactly why we wrote the bill,” said Sen. Tom Umberg (D-Santa Ana), a lawyer who oversees the Senate Judiciary Committee, in response to The Times Dec. 31 story on the firm. “I expect that someone will take it upon themselves to actually enforce that law.”
Business
GameStop shutters stores across California
GameStop is shutting down more stores in California.
The video game, toy and collectible retailer has been struggling to find a way to thrive in a market where most of what it sells is easier to get online. It has been shrinking its brick-and-mortar retail footprint for years to lower costs and has reportedly shut dozens of branches in California.
An unofficial blog tracking store closures estimates that more than 400 GameStop locations, and more than 40 in California, have closed or are slated to close this month.
Calls to 10 GameStop locations across the Southland, including in Inglewood, Canoga Park and Gardena, went unanswered. A recorded message told callers that store associates were “assisting other customers” and to “call back in a few minutes.” One store employee in a San Francisco Bay Area outlet confirmed that the outlet was closing on Thursday.
Gamestop’s official store directory showed many California stores closed all week.
The closures were previously disclosed in the company’s December financial filings, though the exact number wasn’t announced. GameStop did not respond to requests for comment.
The Texas-based video game retailer’s decision to shed locations was the result of a “comprehensive store portfolio optimization review” that looked at market conditions and individual store performance, according to its December Securities and Exchange Commission filing.
GameStop closed 590 stores nationwide during the 2024 fiscal year, according to the filing.
“We anticipate closing a significant number of additional stores in fiscal 2025,” the company said in its December filing. The company’s fiscal year ends on Jan. 31.
GameStop had 2,325 U.S. stores as of Feb. 2025, the company wrote in a March filing.
GameStop has struggled as many customers download video games instead of buying physical copies at brick-and-mortar stores, the company said in the filing.
“Downloading of video game content to the current generation video game systems continues to grow and take an increasing percentage of new video game sales,” the company wrote. “If consumers’ preference for downloading video game content in lieu of physical software continues to increase, our business and financial performance may be adversely impacted.”
The company’s difficulties in staying relevant somewhat echo those of the video chain Blockbuster, which has one remaining location, and RadioShack, once a fixture at malls across America.
GameStop originated in the 1980s as Babbage’s, a computer shop in Dallas that later shifted its focus to video games. The company, which underwent several acquisitions, including by the book retailer Barnes & Noble, was later renamed GameStop.
In 2021, GameStop became the emblematic “meme” stock when investors drove up share prices during an online craze amid hopes there was a way to salvage the already struggling brand.
The company has more recently turned to cryptocurrency. Last May, it announced that it had acquired more than 4,700 Bitcoin, which Reuters estimated at the time to be worth around $513 million.
GameStop shares have been volatile over the last 12 months. As of Thursday, shares had fallen around 25% over that time period.
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