Amazon has agreed to pay more than $500,000 to reimburse California for thousands of delivery drivers that didn’t receive some shipping notifications from the e-commerce giant.
The New York Times reported Friday that the agreement requires Amazon to waive the fine and provide $300,000 in cash grants and $140,000 in other forms of assistance.
Amazon spokesperson Drew Herdener told the New York Times that the order against the company “came in response to an equipment failure that affected deliveries and a cascading string of notifications from other companies” that caused the delivery problems.
Amazon said that tens of thousands of shipping notifications were sent to driver vehicles throughout the state but that those deliveries didn’t occur.
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Neil Cavuto asked how the company feels about paying $500,000 to reimburse the state to pay the fees to the drivers.
Herdener said it was “understandable” and added that Amazon is “still in the process of reviewing the transaction.”
He said the issue likely wouldn’t have arisen had the drivers read the mailings because trucks would be out on delivery routes when the notifications reached their vehicles.
“The proper notifications would have gotten through,” Herdener said.
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