(Reuters) – As U.S. authorities ordered shutdowns of non-essential businesses to fight coronavirus, retailer Nordstrom Inc closed hundreds of stores and gave in-store workers three weeks’ pay, calling their safety its top priority.
File Photo: Wayfair employee Akeel Sudlow, who told his employers that he would not come to work during the coronavirus disease (COVID-19) outbreak, poses at his home in Lawrence, New Jersey, U.S. April 6, 2020. REUTERS/Jessica Kourkounis
That benefit did not extend to Meagan Christensen, 34, an Iowa warehouse worker who packs online orders of Birkenstock sandals, swimsuits and $60 face cream. The facility recently closed for cleaning after a co-worker contracted COVID-19, but it reopened 36 hours later.
With Americans stuck at home, warehouse workers scramble to fill surging online orders. Some, such as Amazon.com Inc and Walmart Inc employees, often ship groceries and other essentials. Others risk their health for furniture or fashion retailers such as IKEA, Wayfair Inc or Macy’s Inc.
Government stay-home orders have carve-outs for warehouses or e-commerce operations, allowing a wide array of retailers to piggyback on exemptions intended primarily to ensure the flow of necessities. The loophole means a large segment of retail workers – who often have scant benefits or sick time – must choose between their health and their paycheck. Some retailers, including Wayfair, Kohl’s and Macy’s, have given workers letters from executives to show police if they are stopped while commuting.
“A lot of people are scared” at Nordstrom, said Christensen, who says she earns less than $40,000 per year and is enrolled in the company’s health insurance plan. “We’re selling designer-line apparel and cosmetics. None of this is make-it-or-break-it for the current situation.”
Nordstrom said its online operations are keeping its business afloat – and ensuring workers’ livelihoods for the long term.
“What’s the opposite scenario? Everything gets shut down completely, and we can’t afford to pay your benefits?” said Gigi Ganatra Duff, a Nordstrom corporate affairs vice president. “And we can’t afford to hire you back when it’s over?”
As in-store sales evaporate, retailers are chasing a captive audience – stuck inside, bored, tempted to shop online. Macy’s ads, echoing others, tout “our lowest prices of the season right now!”
Those orders are filled by warehouses employing hundreds of people. Stephanie Morris, 57, works for IKEA in New Jersey, shipping sofas and shelves. She says she checks her temperature before each shift. “People don’t understand that, when you order something, there’s got to be someone there to pull that merchandise,” she said.
Reuters interviewed three dozen warehouse and fulfillment workers and reviewed COVID-19 wage-and-benefit policies at nine retailers – Amazon, Walmart, Target Corp, Nordstrom, Wayfair, O’Reilly Automotive Inc, IKEA, Macy’s and Kohl’s. Five of them – Amazon, Walmart, Nordstrom, Kohl’s and Target – extended temporary $2-per-hour raises to workers, some of whom make less than $15 an hour. Wayfair offered $4 raises.
The firms said they prioritize safety by cleaning, encouraging social distancing and providing protective gear. Kohl’s, Walmart and IKEA said their workers’ temperatures are checked before shifts, although several IKEA workers said that’s not happening at their warehouses.
IKEA and Wayfair called their products essential to people who suddenly need ho