XPO Logistics flies under the radar. The company is one of the ten largest logistics companies in the world, with 97,000 employees and over 1,500 locations, operating in thirty countries. Last year, XPO, led by billionaire CEO Bradley Jacobs, reported over $16 billion in revenue. While you may never have heard of the company, the brands it services are more familiar: Amazon, Walmart, Home Depot, Starbucks, and Peloton, among others.
But according to a new report compiled by the XPO Global Union Family, a network of unions representing workers in countries where XPO Logistics has its largest operations, business as usual at XPO deserves more attention.
“Behind the glossy marketing,” write the report’s authors, “are supply chains mired in worker exploitation, a cavalier and even negligent approach to safety that has led to injury and death, and a company where workers who protest against pregnancy discrimination and harassment are met by retaliation.” The report, titled “XPO: Delivering Injustice,” compiles workers’ stories from around the globe, painting a picture of the logistics company’s flouting of the law and blasé attitude toward worker safety, even as the global coronavirus pandemic hit. (XPO has not responded to a request for comment, but told Motherboard, “The report repeats wholly inaccurate allegations that have been entirely debunked.”)
Even as Jacobs told shareholders in April 2020 that “We’ve deliberately built XPO like a bulletproof tank to surmount all kinds of challenges,” workers at the transportation and logistics giant, which specializes in last-mile delivery, were in crisis.
As the report details, a March 2020 survey of XPO/ASOS workers at a 4,000-person warehouse in the United Kingdom found that 98 percent of respondents felt unsafe at work, emphasizing management’s failure to provide them with personal protective equipment (PPE), ensure social distancing, and provide handwashing facilities and sufficient supplies of soap. In July 2020, the company refused to shut down another distribution center in the country, even as sixty-four workers tested positive for COVID-19.
In the United States, a survey conducted by the Teamsters found similar concern and uncertainty among XPO’s workers. Asked to rate the company’s performance in addressing COVID-19 risks on a scale of 1 to 10, 24 percent of respondents gave XPO a 1.
The situation is, if anything, even more dire in Europe. According to the report, XPO’s use of Eastern European subcontractors leads to rampant labor-law violations, leaving workers stranded abroad with fake documentation. In interviews conducted in June 2020, Ukrainian drivers told Stichting VNB, the research and enforcement arm of Dutch union FNV, that they “live for months in the cabin of their trucks, do not get paid the agreed Lithuanian salary, and are even given false attestation de détachement documents in France stating that they get a much higher €10 hourly wage.” The report continues,
The drivers told VNB that they had begged their Lithuanian employer to allow them to go home but that the company ignored their requests. For their time on the road, the drivers only receive enough money for food — with too little to enable them to leave their trucks in France and go home of their own free will.
One Ukrainian driver employed in Lithuania told VNB in June 2020 that he had not been home since December 2019, despite begging his employer, the subcontractor, to send a replacement driver. “Luka was forced to live illegally in his truck the whole time, isolated and alone,” write the report’s authors.
These exploitative conditions didn’t begin during the pandemic either. A New York Times story from October 2018 revealed rampant pregnancy discrimination against workers in a Verizon warehouse operated by XPO in Memphis, Tennessee. There, working conditions led to several miscarriages. In response to the story, XPO established a new pregnancy policy. “While the new policy appears progressive on paper and seems to be a large improvement of the former policy,” write the report’s authors, it “lacks any oversight or enforcement mechanism.” Further, shortly after rolling out the new policy, XPO closed the Memphis facility, a move Senator Richard Blumenthal, who represents Connecticut, where XPO headquarters is located, said “reeked of retaliation.”
As the report notes, XPO workers in the United States have filed 120 unfair labor practice (ULP) charges with the National Labor Relations Board (NLRB) against XPO since 2014. As Lafe Solomon, a former acting general counsel of the NLRB, concluded in 2018:
The sheer number of unfair labor practice charges filed and complaints issued by NLRB regional directors against XPO, resulting in numerous board decisions and settlements, are extraordinary and outside the norm of employer opposition to its employees’ organizing efforts, and evidence XPO’s intent to flaunt its obligations under the NLRA to deny its employees their right and ability to form and join a union.
Despite this resistance, which includes the hiring of anti-union consultants, workers have unionized at seven XPO facilities in the United States. Not one of these, however, has ratified a union contract yet.
“Unions representing working people at XPO are greatly concerned that XPO’s business model is based on exploitation, illegal underpayments, and a callous approach to safety,” conclude the report’s authors. They have repeatedly demanded to meet with the company to discuss workers’ concerns, but so far, they say, XPO has refused.