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com Inc. layoffs will affect on more than 18,000 employees, the highest rate of layoffs disclosed in the past year at a major tech company as the industry slumps amid economic uncertainty.
Layoffs are concentrated in the company’s corporate ranks and represent roughly 5% of that component of its workforce, and 1.2% of its total employee count of 1.5 million as of September.
The Seattle-based company said in November it had begun laying off workers, with cuts concentrated in its hardware business, hiring and retail operations. At the time, the Wall Street Journal reported The total reductions will be about 10,000 people. Thousands of those cuts started last year.
The rest of the cuts will bring the total number of layoffs to more than 18,000 and will be made over the coming weeks.
On Wednesday, after the newspaper broke the news about the volume
Amazon‘s
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Layoffs CEO Andy Jassy addressed the cuts in a blog post. “Amazon has successfully navigated difficult and uncertain economies in the past, and we will continue to do so,” said Mr. Jassy. He added that the majority of the discounts take place in Amazon’s retail and employment areas. The blog post said the company will alert affected employees later this month.
Amazon was one of the biggest companies Beneficiaries of the Covid-19 pandemic Where customers flocked to shop online. The rush into Amazon’s various businesses, from e-commerce to groceries and cloud computing, has spurred years of growth for the company. To keep up with demand, Amazon has doubled its logistics network and added hundreds of thousands of employees.
When demand began to dwindle with Customers return to in-store shoppingAmazon began a large-scale cost-cutting review to trim units that were unprofitable, the Journal reported. In the spring and summer, the company made target cuts to cut costs, closing physical stores and business units like Amazon Care. Amazon later announced a company-wide hiring freeze before deciding to let the employees go.
Many tech companies have cut jobs With the economy faltering. Amazon’s layoffs of more than 18,000 employees will represent the largest number of people let go by a tech company in the past few months, according to statistics released in Layoffsa website that tracks events as they appear in media reports and company releases.
This trend has affected companies like Amazon and others which have admitted that they have grown too fast in many cases.
parents
Meta platforms company
He said he would cut More than 11,000 workersor 13% of its employees, in addition to layoffs in
Lift company ,
HP company
and other technology companies. Wednesday,
sales force company
It said it is laying off 10% of its workforce. Co-CEO Marc Benioff said the business software provider has hired too many people as revenue was soaring earlier in the pandemic. He said, “I take responsibility for that.”
write to Dana Mattioli at [email protected] and Jessica Toonkel at [email protected]
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It appeared in the January 5, 2023, print edition as “Amazon Layoffs Exceed Initial Reports”.
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