Latest news with #SteveKelly
Yahoo
25-06-2025
- Business
- Yahoo
Amazon Discontinues Kia Soul Same-Day Delivery Program, Shifts Back to Flex Drivers
Inc. (NASDAQ:AMZN) is one of the best Fortune 500 stocks to buy according to billionaires. On June 20, Bloomberg reported that Amazon is discontinuing its experiment with same-day deliveries using Kia Soul vehicles, opting instead to rely on its existing network of gig-economy workers, primarily through the Amazon Flex program. The trial began rolling out in 2023 and involved Amazon contract delivery firms, known as Delivery Service Partners (DSPs), deploying drivers in four- or five-hour shifts using rented Kia Corp. hatchbacks in several US states, like Florida, Illinois, Massachusetts, Ohio, Texas, and Washington. The objective of the Kia Soul program was to give Amazon more control over deliveries and potentially reduce its dependence on Amazon Flex drivers who utilize their own cars. A customer entering an internet retail store, illustrating the convenience of online shopping. However, Amazon spokesperson Steve Kelly confirmed that after more than a year of gathering feedback from customers, DSPs, and teams at Same-Day Delivery facilities, the DSP model was determined not to be the right fit for Same-Day Delivery. The program will be phased out over the next few months, and the rental vehicles will be returned to their vendors. Amazon has stated it will support affected DSPs in operating other Amazon routes and assist drivers in finding jobs with other firms if needed. Inc. (NASDAQ:AMZN) engages in the retail sale of consumer products, advertising, and subscription services through online and physical stores through three segments: North America, International, and Amazon Web Services/AWS. While we acknowledge the potential of AMZN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the . READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey.
Business Insider
21-06-2025
- Automotive
- Business Insider
Amazon Ditches Kia Trial and Goes Back to Gig Workers for Deliveries
Gig workers have got their gig back at U.S. tech giant Amazon (AMZN) after it ditched a two year long delivery experiment. Confident Investing Starts Here: Car Plan Scrapped Amazon has, according to Bloomberg, scrapped a trial where contract delivery firms in several US states deployed drivers for four- or five-hours shifts in boxy little Kia Corp. hatchback cars. Amazon hoped that the trial, which began to roll out in 2023 in Florida, Illinois, Massachusetts, Ohio, Texas and Washington, would give it more control of deliveries and reduce its reliance on Flex drivers. These are people who use their own cars to deliver orders to customers' homes. These gig economy workers will now once again get behind the wheel. Reportedly owners of the participating Delivery Service Partners, as Amazon calls its contract delivery firms, were recently notified that the quick-delivery program will be winding down over the next few months. 'After more than a year of gathering feedback from customers, DSPs, and teams at Same-Day Delivery facilities, we've determined that the DSP model isn't currently the right fit for Same-Day Delivery and we'll be moving away from it,' Amazon spokesperson Steve Kelly said. 'We appreciate the contributions from participating DSPs and their teams, and we'll provide support throughout this transition.' Speed Need Kelly said the affected DSPs can operate other Amazon routes. These DSPs lease blue Amazon Prime-branded vans and employ the drivers, who might deliver 200 or more packages a day. Flex drivers opt in via a smartphone app and typically deliver packages from Amazon's same-day delivery depots. (WMT) and Target (TGT). It recently announced plans to invest up to $4 billion to expand its rural delivery network by 2026. Is AMZN a Good Stock to Buy Now? On TipRanks, AMZN has a Strong Buy consensus based on 46 Buy and 1 Hold ratings. Its highest price target is $305. AMZN stock's consensus price target is $241.64 implying a 15.13% upside.
Yahoo
20-06-2025
- Business
- Yahoo
Amazon Ends Speedy Delivery by Kia Soul in Favor of Gig Workers
(Bloomberg) -- Inc. is ending an experiment that saw drivers in Kia Souls make same-day deliveries and will rely on its network of gig-economy workers instead. Security Concerns Hit Some of the World's 'Most Livable Cities' One Architect's Quest to Save Mumbai's Heritage From Disappearing JFK AirTrain Cuts Fares 50% This Summer to Lure Riders Off Roads NYC Congestion Toll Cuts Manhattan Gridlock by 25%, RPA Reports Taser-Maker Axon Triggers a NIMBY Backlash in its Hometown In the test, Amazon contract delivery firms in several US states deployed drivers for four- or five-hours shifts in the boxy little Kia Corp. hatchbacks. The trial, which began to roll out in 2023, gave the world's largest online retailer more control over deliveries. If widely deployed, it also could have reduced the company's reliance on Amazon Flex drivers, who use their own cars to ferry orders to customers' homes. Those gig workers will now pick up the affected routes. Owners of the participating Delivery Service Partners, as Amazon calls its contract delivery firms, were recently notified that the quick-delivery program will be winding down over the next few months, the company confirmed. 'After more than a year of gathering feedback from customers, DSPs, and teams at Same-Day Delivery facilities, we've determined that the DSP model isn't currently the right fit for Same-Day Delivery and we'll be moving away from it,' Amazon spokesperson Steve Kelly said in an emailed statement. 'We appreciate the contributions from participating DSPs and their teams, and we'll provide support throughout this transition.' Amazon tested the concept in Florida, Illinois, Massachusetts, Ohio, Texas and Washington. Kelly said the affected DSPs can operate other Amazon routes and that the company will help drivers get jobs with other firms, if necessary. The program's vehicles were rentals and will be returned to the vendor, he said. Amazon, which started out relying exclusively on the US Postal Service and other carriers to get goods to customers, in the last decade built a sprawling logistics operation centered around small businesses. These DSPs lease blue Amazon Prime-branded vans and employ the drivers, who might deliver 200 or more packages a day. Flex drivers opt in via a smartphone app and typically deliver packages from Amazon's same-day delivery depots. Both programs have been criticized by workers' advocates who contend that the drivers, operating at Amazon's direction, should be classified as company employees. Luxury Counterfeiters Keep Outsmarting the Makers of $10,000 Handbags Ken Griffin on Trump, Harvard and Why Novice Investors Won't Beat the Pros Is Mark Cuban the Loudmouth Billionaire that Democrats Need for 2028? The US Has More Copper Than China But No Way to Refine All of It Can 'MAMUWT' Be to Musk What 'TACO' Is to Trump? ©2025 Bloomberg L.P.
Hamilton Spectator
17-05-2025
- Business
- Hamilton Spectator
Amazon, worker union before Quebec labour tribunal over warehouse closures
MONTREAL - A Quebec labour tribunal has begun hearing a case against Amazon over the e-commerce giant's closure in January of seven warehouses in the province. Some 1,700 employees lost their jobs following Amazon's sudden termination of its Quebec warehouse operations months after workers at a Montreal-area facility unionized with the Confédération des syndicats nationaux. In a news release, the CSN union said it is asking the tribunal to overturn Amazon's decision to close the seven centres and force the company to pay all 1,700 workers one year's salary. The CSN says Amazon has asked the tribunal to exclude the six non-unionized warehouses and limit the scope of the hearing to 287 unionized workers at the facility in Laval, Que. 'We are hopeful that the court will see clearly and ensure that the labour laws and charters of rights that prevail in Quebec are respected,' CSN president Caroline Senneville said in a statement. Amazon has said its closures were about delivering efficient and cost-effective services to customers, not a response to the union drive. Steve Kelly, an Amazon spokesman, said employees were provided with a package that included up to 14 weeks' pay after the warehouses were shuttered, in addition to other transition benefits like job placement. 'Throughout this process, we've complied and will continue to comply with all applicable federal and provincial laws,' Kelly said. A spokesman for the union says the hearings are scheduled to take place intermittently over the next few months. This report by The Canadian Press was first published May 16, 2025.
Yahoo
14-05-2025
- Business
- Yahoo
FedEx, Amazon strike large-package delivery deal
This story was originally published on Supply Chain Dive. To receive daily news and insights, subscribe to our free daily Supply Chain Dive newsletter. FedEx will deliver large packages to Amazon's residential customers under a multi-year agreement, FedEx said in an emailed statement Monday. The two parties signed a partnership deal in late February that provides Amazon "cost favorability" when compared to using UPS, Business Insider reported, citing an internal document. Further details of the arrangement, including its timing and scope, were not provided by FedEx or Amazon. "FedEx joins our other third-party partners like UPS and the USPS, that work alongside our own last mile delivery network to help us balance capacity to best serve customers," Amazon spokesperson Steve Kelly said in an emailed statement. The agreement marks a rekindling of the two parties' relationship nearly six years after FedEx announced it wouldn't renew its Ground and Express domestic shipping contracts with Amazon. At the time, FedEx said it wanted to focus on the broader e-commerce market. E-commerce remains a priority customer segment, but the carrier is making wide-ranging changes to its network that allow it to handle those deliveries more efficiently. That's particularly important in serving a customer like Amazon, which can offer large amounts of volume but often at a less profitable clip — a gripe UPS has had in its Amazon delivery arrangement. "Did UPS miss an opportunity here or is FedEx ahead in the network optimization race and is able to deliver these package types at a lower price compared to UPS and still make a profit?" said Jay Kent, managing director of SLB Performance, in a LinkedIn post. The deal's announcement comes after UPS said in January said it would cut its Amazon volume by more than 50% by the second half of 2026 due to profitability concerns. However, the FedEx agreement isn't meant to replace delivery capacity from UPS, according to Amazon. The arrangement meets a need for both companies, said Nate Skiver, founder of LPF Spend Management, in a LinkedIn post. FedEx gets a volume and revenue boost, while Amazon nabs support for harder-to-handle products. Skiver added that there's limited large-package delivery options for Amazon available in the U.S. parcel market, particularly for longer-distance shipments. "There's nowhere else to turn if UPS won't take it," he said. More than two-thirds of Amazon packages are delivered through its in-house logistics network in the U.S., according to the company. But large packages can be difficult to handle efficiently, even for Amazon and FedEx's highly automated networks. Parcel carriers typically institute fees for bulkier shipments, the cost of which has climbed in recent years. Recommended Reading UPS to cut Amazon volume by more than 50% Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
