Amazon to cut 10,000 jobs in largest-ever lay-offs
- The devices group, which handles the Alexa digital assistant and Echo speakers, is likely to be one of the hardest hit, along with the retail and HR divisions
- Amazon is the latest US company to make big job cuts to brace for a potential economic downturn, following firms like Meta and Twitter
Amazon.com Inc. plans to cut about 10,000 jobs, the largest ever headcount reduction at the e-commerce giant as it braces for slower growth and a possible recession.
The lay-offs, which could begin as soon as this week, are likely to target Amazon’s devices group, responsible for the Echo smart speakers and Alexa digital assistant, as well as Amazon’s retail divisions and human resources, according to people familiar with the matter.
Amazon is the latest US company to make deep cuts to its employee base to brace for a potential economic downturn. Last week, Facebook-parent Meta Platforms said it would cut more than 11,000 jobs to rein in costs. Others include Elon Musk-owned Twitter Inc, Microsoft Corp and Snap Inc.
Teams at Amazon are making the decisions on where to reduce headcount as part of the company’s annual planning process, said the people, who requested anonymity to discuss a confidential matter.
Chief Executive Officer Andy Jassy has vowed to streamline operations amid slowing sales growth and economic uncertainty. Last month, the Seattle-based company predicted that the holiday sales period would be the slowest in its history, spooking Wall Street and tanking the shares.
Some long-time Amazon employees, also speaking on condition of anonymity to discuss an internal matter, said the cost-cutting in the last few months has been the most severe they have ever experienced.