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It seems to me that the payout for the employee would need to be enough that they never have to work again because of the risk that they won't be able to find a new jobs after having a lawsuit on their record.

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Which record that most employers would check includes lawsuits against former employers?

The New York Times. Washington Post. Seattle Times.

If you take Amazon to court and win a labor lawsuit, your name will be ALL over the papers.

Employees have and will continue to take Amazon to court over issues like this and go completely under the radar. The case would also highly likely be settled out of court to avoid this exact issue because they don't want it in the papers either. For an individual doing a (for Amazon) low stakes lawsuit you're highly sensationalizing the situation.

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