Amazon Prepares for Largest Layoffs in Company History
Amazon plans to cut approximately 10,000 corporate and technology jobs as CEO Andy Jassy focuses on cost-cutting amid slowing sales. The layoffs represent the largest reduction in the company's history and follow similar moves by other major tech firms.
Amazon plans to lay off approximately 10,000 employees in corporate and technology roles, marking the largest reduction in the company's history. The job cuts primarily impact the devices organization, retail division, and human resources departments. Although the number remains fluid, these layoffs account for less than one percent of Amazon's massive global workforce and about three percent of its corporate staff.
The decision reflects a broader trend across the technology sector, with companies like Meta and Twitter recently implementing significant headcount reductions. Under the leadership of CEO Andy Jassy, Amazon shifts away from its usual holiday hiring surge to focus on preserving cash. The company already freezes corporate hiring in its retail business and shuts down various unprofitable side projects.
Amazon shares drop about two percent as the news circulates, highlighting investor concerns about the company's shifting strategy. The workforce reduction comes after a period of explosive growth, during which Amazon doubled its total headcount between the end of 2019 and the close of 2021. As the company confronts a gloomy global economy and slowing sales, Jassy continues to implement strict financial measures to stabilize the tech giant.