Mass Layoff Includes Unionized Workers
Instacart, a shopping service, plans to introduce a new “Partner Pick” model for its retail partners in a move to enhance accessibility. Retailers opting for this model will use their own staff supported by Instacart’s technology to fulfill customer orders instead of relying on third-party shoppers. However, this shift will result in the layoff of at least 1,900 Instacart shoppers.
An Instacart spokesperson informed FOX Business that some grocers switching to the Partner Pick model would lead to the gradual cessation of in-store operations at select retail locations in the coming months. The company is aware of the challenges posed by the COVID-19 crisis and emphasizes its commitment to providing support to affected in-store shoppers during this transition.
Instacart has pledged to assist displaced shoppers in finding positions at other nearby retailers, contingent on job availability. In cases based on tenure, some affected shoppers may qualify for severance packages. Retailers can still opt to utilize third-party shoppers if they prefer not to engage their own employees.
One concerning aspect of the widespread layoffs is that all ten unionized Instacart employees are included in the job cuts. Although Instacart asserts that union affiliation played no role in the decision, labor unions remain skeptical.
Instacart is firing every employee who voted to unionize https://t.co/bvrpEORsMr pic.twitter.com/S7kZLF5NWi
— The Verge (@verge) January 21, 2021
The United Food and Commercial Workers Local 1546 expressed dissatisfaction, stating, “Instacart firing the only unionized workers at the company and destroying the jobs of nearly 2,000 dedicated frontline workers in the middle of this public health crisis is simply wrong.” The union is urging Instacart to halt the layoffs immediately and prioritize the health of its customers by safeguarding the jobs of essential workers when they are most needed by our communities.