Amazon to lay off as many as 20,000 employees.
Amazon is reportedly planning to lay off around 20,000 employees from the company. A huge layoff in Amazon will take take place in the coming months and the company will fire people from their distribution centres across several regions. The company will also fire their technology staff and corporate executive.
The layoff was already previously hinted at by the CEO Andy Jassy, however, he did not reveal the number of employees to be fired. In November, a few internal sources told The New York Times that the company was planning to sack 10,000 employees. A fresh report by computer world is now claiming that this number has been raised to 20,000 and the company is planning to fire people at all levels, according to the cited source.
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Amazon’s CEO recently announced that the process of a layoff would continue for a few months and that the impacted employees will be informed once the company assess everything.
“Our annual planning process extends into the new year, which means there will be more role reductions as leaders continue to make adjustments. Those decisions will be shared with impacted employees and organizations early in 2023. We haven’t concluded yet exactly how many other roles will be impacted (we know that there will be reductions in our Stores and PXT organizations), but each leader will communicate to their respective teams when we have the details nailed down. And, as has been the case this week, we will prioritize communicating directly with impacted employees before making broad public or internal announcements,” Andy said.
Amazon did not confirm the layoffs: "We haven’t concluded yet exactly how many other roles will be impacted (we know that there will be reductions in our Stores and PXT organizations), but each leader will communicate to their respective teams when we have the details nailed down," Jassy wrote in a message on November 17. In response to a question, an Amazon spokesperson declined to comment on the reports from sources that the company is looking to cut 20,000 employees.
This Wednesday at The New York Times DealBook conference, Jassy provided more information on the layoffs, said, “We just felt like we needed to streamline our costs.”
In the early stages of the epidemic, Amazon's retail business expanded quickly, which “forced us to make decisions at that time to spend a lot more money and to go much faster in building infrastructure than we ever imagined we would,” Jassy said at the conference.
“We knew we might be overbuilding,” Jassy stated.
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