Amazon cuts 18K, exceeds estimates

Amazon will let go of more employees than it initially expected, CEO Andy Jassy announced Wednesday in a blog post. While roughly 10,000 cuts were estimated in November, over 18,000 workers are likely to be impacted, most within Amazon Stores and the People Experience and Technology Solutions team. Amazon saw tremendous growth during the pandemic, forcing it to hire hundreds of thousands of people to meet demand. However, the demand has since fizzled and paired with a gloomy economic outlook, the company launched a “broad cost-cutting review” last year.

Amazon joins a plethora of other major tech companies announcing layoffs. Salesforce announced Wednesday that it was cutting roughly 10% of its workforce.

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4d • 4 days ago

#Amazon announces more layoffs, saying that 18,000 corporate employees will be made redundant over the coming weeks.

This comes after the Wall Street Journal reported that total job cuts would amount to 10,000 in November.

The rest of the cuts will now bring the number of layoffs to more than 18,000. Representing 5% of its corporate workforce, and 1.2% of its overall tally of 1.5 million employees.

The move illustrates that the cost focus in tech companies is deepening.

With slowing shopper demand and steadily high inflation rates, Amazon CEO Andy Jassy has accelerated its focus on cutting costs across divisions.

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What do you think? Is Amazon going too far by laying off almost 5% of its corporate workforce?

Let me know in the comments!

#layoffs