March 23, 2023
Amazon is laying off 9,000 more employees, CEO Andy Jassy revealed in a memo to employees on Monday.
The latest layoffs come after the company revealed earlier this year that it was cutting 18,000 jobs as part of a major cost-cutting effort at the e-commerce behemoth.
According to Jassy, the new round of layoffs will take place in the coming weeks and will primarily affect employees in the following divisions: Amazon Web Services, People Experience and Technology (PXT), advertising, and Twitch.
“This was a difficult decision, but we believe it is in the best interests of the company in the long run,” Jassy wrote in the memo.
Some people might wonder why we didn’t include these role reductions in the ones we previously disclosed, Jassy said. The short answer is that not all of the teams completed their analyses by the end of the fall. Rather than rushing through these assessments without the necessary care, we decided to share these decisions as we made them so people could learn about them as soon as possible.
The most recent layoffs at Amazon are part of a recent wave of job losses in the technology sector as the sector deals with a whiplash in demand for digital products and services brought on by a pandemic and wider macroeconomic uncertainty.
Similar to many other Big Tech firms, Amazon quickly increased its employee count in the early stages of the epidemic. The hiring “made sense given what was happening in our businesses and the economy as a whole,” Jassy wrote on Monday. We have decided to be more lean in our costs and headcount, he continued, “given the uncertain environment in which we reside and the uncertainty that exists in the near future.
Twitch CEO Dan Clancy confirmed that the Amazon-owned livestreaming platform was laying off about 400 staff members in a separate memo to Twitch workers on Monday.
Like many businesses, Clancy’s claimed that the current macroeconomic climate had an effect on his. “User and revenue growth has not kept pace with our expectations,” Clancy said. “We have made the very difficult decision to reduce the size of our workforce in order to run our business sustainably.”
Just last week, Facebook parent company Meta revealed it was cutting another 10,000 jobs on top of the 11,000 layoffs that were previously announced in late 2017.
Source: CNN
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