In a recent development, Amazon, the world’s largest online retailer, is reportedly considering laying off up to 9,000 employees. The move is said to be part of the company’s ongoing efforts to streamline operations and reduce costs.
The potential job cuts are expected to primarily affect the company’s consumer retail division, which has seen significant growth in recent years but has also faced increased competition from other retailers. It is unclear at this time which specific departments or regions within Amazon would be most affected by the layoffs.
In a statement, an Amazon spokesperson acknowledged the company’s focus on improving efficiency and said that they are “working to ensure our teams are structured for long-term success.” The spokesperson did not confirm or deny the possibility of layoffs.
This news comes as a surprise to many, as Amazon has been one of the few companies to see continued growth throughout the COVID-19 pandemic. However, the company has also faced criticism in recent years for its treatment of workers and alleged anti-union activities.
It remains to be seen whether Amazon will ultimately go through with the proposed job cuts and how they will affect the company’s future growth and profitability.
In an announcement on Monday, Amazon’s CEO Andy Jassy revealed that the company will be cutting an additional 9,000 jobs from its workforce. This decision comes after the 18,000 job cuts made in January and is a part of Amazon’s efforts to reduce costs and streamline its operations.
Jassy cited the uncertain economy and future outlook as the reasons for the company’s decision to downsize. The layoffs will impact various departments, including cloud computing, human resources, advertising, and Twitch video game streaming.
Despite the significant number of job cuts, they account for a relatively small percentage of Amazon’s total workforce, which stood at 1.5 million people in December 2022.
Jassy stated that the company had received feedback from various departments, leading to the additional layoffs. Amazon had previously experienced a sustained period of hiring, which was largely due to the boost in online shopping and entertainment usage caused by the coronavirus pandemic.
The company’s decision to share its assessments and decisions as soon as possible was made to avoid rushing through the process without appropriate diligence. The cuts are a part of Amazon’s wider cost-cutting campaign, which has also seen the postponement of plans to open a new company headquarters in the Washington DC area. However, the company has stated that this is a temporary measure.