Credit: Shutterstock photoAmazon.com Inc.AMZN , the world's largest online retailer, is again facing a strike called by its German employees demanding higher pay.
Per reports, German labor union - Verdi - went on a strike at the distribution warehouse in Koblenz, western Germany, and would continue till Mar 23 if the demands are not met.
Workers at Amazon's distribution centers in Germany have called such strikes since May 2013 demanding the right for collective bargaining, proper working conditions and regard for their efforts. However, the company claims that the current wages are above-average in the logistics industry.
Germany, one of Amazon's largest European markets, contributed more than $11.8 million to sales in 2015. To cater to the increasing demand in Europe, several fulfillment centers have been opened across the country to ensure smooth delivery amid the persistent problems. The company believes that the strikes will not affect deliveries; however, such issues always have a negative impact on any company.
Fulfillment centers are giant warehouses that help online retailers like Amazon to store products, ship them and handle returns quickly. These are important for providing the level of customer service that Amazon's customers have come to expect from it. The growing demand for online shopping has made it necessary to invest in these warehouses.
Currently, Amazon has a Zacks Rank #3 (Hold). Some stocks that have been performing well are Stamps.com Inc. STMP , Travelport Worldwide Limited TVPT and Gaiam Inc. GAIA . While Stamps.com and Travelport have a Zacks Rank #1 (Strong Buy), Mercadolibre carries a Zacks Rank #2 (Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
AMAZON.COM INC (AMZN): Free Stock Analysis Report
STAMPS.COM INC (STMP): Free Stock Analysis Report
GAIAM INC (GAIA): Free Stock Analysis Report
TRAVELPORT WWD (TVPT): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
