Amazon’s 150% Churn, Gen Z Drips, An Old Ford Factory Goes Boom

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This Tuesday we’re talking about Amazon's impressive employee churn rates. We also cover a new report indicating big differences between Millennial and Gen Z buying habits, as well as an iconic former Ford Factory going down in Jacksonville. 

• According to leaked internal documents, Amazon is experiencing attrition rates as high as 81% across the entire company spanning positions from warehouse workers all the way to vice presidents
  • The documents, which include several internal research papers, slide decks and spreadsheets, indicate that only one third of new hires stay past 90 days with the vast majority of them willfully quitting vs being laid off or fired
  • A New York Times investigation revealed an annual turnover rate of 150% among hourly employees
  • Wall Street Journal and National Employment Law Project have both found turnover to be around 100 percent in warehouses , twice the industry average
  • A major issue cited is the lack of tracking training and promotion data
  • $8B is the estimated cost of the turnover
  • Ironically, saw a huge Amazon ad offering free technical training with no college debt featuring a smiling Gen Z’er 
  • Tili: People need purpose
• A new study by Advantage Unified Commerce indicates a major shift in buying behavior between Millennials and Gen Z when it comes to indulgent premium products
  • Indicates that brands must deliver an elevated ‘premium’ experience that creates indulgent moments in the midst of ordinary life
• Millennials = aspirational  Gen Z = intentionally premium
• Consumers report no intent to walk away from premiumization in the face of inflation, with 65% planning to purchase premium over the next 12 months
• “premium” defined as:  worth the purchase with "added value, proof of value, performance, inclusion and shareability."
• Gen Z indicates being willing to work more as opposed to scaling back purchases
  
  
• A piece of auto manufacturing history is slated to be demolished as a Jacksonville City Council unanimously agreed Tuesday with the owner of the Ford factory which was built 100 years ago
  • The plant made Model Ts for about 8 years before Ford closed operations as a result of the great depression
  • At one point the factory boasted 200 cars per day and was one of the highest producing sites in the southeast (modern factories produce over 1,000 per day)
  • It was then turned into a parts warehouse, and later a pallet factory
  • The prime waterfront real estate will be redeveloped after the buildings removal 
  • A city-hired photographer will document the building's legacy before it's torn down

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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