Amazon layoffs to extend into 2023

Author: Reuters/Web Desk

Amazon.com said on Thursday there would be more role reductions as its annual planning process extends into next year and leaders continue to make adjustments.

“Those decisions will be shared with impacted employees and organizations early in 2023”, said Andy Jassy, who became the company’s Chief Executive Officer in 2021, in a letter to Amazon employees.

Jassy added the company was in the middle of an annual operating planning review where it was making decisions about what should change in each of its business.

Amazon has not yet decided on how many other roles will be impacted by the move.

On Wednesday, Amazon.com Inc said it has laid off some employees in its devices group as a person familiar with the company said it still targeted around 10,000 job cuts, including in its retail division and human resources.

Amazon executive Dave Limp in a blog post said the company had decided to consolidate teams in its devices unit, which popularized speakers that consumers command through speech. It notified the employees it cut on Tuesday.

“We continue to face an unusual and uncertain macroeconomic environment,” he said. “In light of this, we’ve been working over the last few months to further prioritize what matters most to our customers and the business.”

Plans, still in flux, to eliminate around 10,000 roles through reductions in more units would amount to about a 3% cut in Amazon’s roughly 300,000-person corporate workforce. The company has offered voluntary buyouts to some human-resources staff, a source familiar with Amazon’s job-cut plans said.

For years, the online retailer aimed to make Alexa, the voice assistant that powers gadgets it sells, ubiquitous and present to place any shopping order, even though it was unclear how widely users have embraced it for more complex tasks than checking the news or weather.

Following the layoff news, shares pared losses and closed down about 2%.

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