Washington: Amazon CEO Andy Jesse said on Monday that he is cutting another 9,000 jobs from the online retail giant’s workforce, after cutting 18,000 jobs in January.
“Given the uncertain economy and the uncertainty surrounding the near future, we have chosen to further streamline our spending and headcount,” Jesse said in a memo to staff.
The layoffs represent a smaller percentage of Amazon’s total workforce, which is expected to reach 1.5 million people in December 2022, compared to cuts at some other tech giants.
Meta has laid off about 25 percent of its estimated workforce in just a few months in what CEO Mark Zuckerberg called the company’s “performance year” as the U.S. tech sector continues to shrink.
Amazon’s Jesse told his workers that the additional layoffs are necessary after more feedback from departments as the company looks for a way to downsize after years of steady hiring.
This was largely due to the coronavirus pandemic as consumers in Amazon’s major markets turned to the Internet for shopping and entertainment in a massive boost to the Seattle-based company.
“Instead of rushing into these reviews without due diligence, we chose to share the decisions as we made them so that people can get the information as quickly as possible,” Jesse said.
The cuts will primarily affect Amazon’s cloud computing, human resources, advertising and Twitch videogame streaming businesses, Jesse told staff.
The layoffs are part of the giant’s cost-cutting drive that also saw a pause in its plans to open a new company headquarters in the Washington, D.C., area, though the company said it was only a temporary move.
