Amazon fires 9,000 workers in its second round of layoffs.
Amazon has reported second round of cutback and uncovered that it is terminating upwards of 9,000 workers. This year, the company has already laid off 18,000 employees.
Ankush Pandey
9,000 more employees will be laid off by Amazon, the company has announced. In a message to the affected employees, Amazon's CEO Andy Jassy stated that the company was going through a difficult time and would have to take this action to save money. This is not the first time the e-commerce giant has laid off employees; in January of this year, it laid off as many as 18,000 people. This basically indicates that 27,000 people have been let go by Amazon.
"In the coming weeks, we intend to eliminate approximately 9,000 more positions, primarily in AWS, PXT, Advertising, and Twitch." In the email that was sent to employees, Jassy stated, "This was a difficult decision, but one that we think is best for the company in the long term."
But why is Amazon reassigning thousands of workers? The CEO of Amazon has explained that over the past few years, the company has hired too many people, and now that the economy is bad, it will have to lay off workers to cut costs and use resources wisely. Additionally, he claimed that the move would benefit the business in the long run and free up funds for more worthwhile endeavors.
He stated, "Given the uncertain economy in which we reside, as well as the uncertainty that exists in the near future," that "we have chosen to be more streamlined in our costs and headcount." Jassy went on to say that the company didn't announce both layoffs at the same time because not all teams finished their analyses in the fall, so the second round is happening now.
He continued, "As our internal businesses evaluated what customers most care about, they made re-prioritization decisions that sometimes led to role reductions, sometimes led to moving people from one initiative to another, and sometimes led to new openings where we don’t have the right skills match from our existing team members." "As our internal businesses evaluated what customers most care about, they made re-prioritization decisions." As a result, Amazon laid off 18,000 employees in January, and now that the second phase of planning has been completed, the company has laid off another 9,000 positions.
The company's chief executive officer has stated that the latest layoff process will be completed by mid- to late-April. Additionally, he confirmed that Amazon will assist those laid off employees. Offering packages that include external job placement assistance, a separation payment, and transitional health insurance benefits is promising.
