Amazon to lay off up to 30,000 corporate employees starting Tuesday: Report

Amazon is planning to lay off up to 30,000 corporate employees starting Tuesday, Reuters reports. The online retailer currently employs 1.55 million people and plans to reduce expenses by addressing over-hiring that occurred during the pandemic when the company added workers to meet high demand.

Of the approximately 350,000 corporate employees, about 10% are expected to be laid off. According to the report, the layoffs may affect several of Amazon’s businesses, including human resources, devices and services, operations and other departments.

On Monday, Amazon managers of the teams affected by the cuts were reportedly required to attend training on how to talk to their employees about the layoffs. The affected employees will start receiving email notifications beginning Tuesday morning. A draft email, reviewed by Business Insider, explains affected employees will receive a severance package that includes full pay and benefits for the next 90 days after their jobs end.

The layoffs will affect employees working in the United States, the United Kingdom and Canada, according to internal messages that were recently sent to Amazon’s managers, Business Insider reports.

Automation and future reductions

In June, Amazon CEO Andy Jassy said that the company’s growing use of artificial intelligence (AI) tools would likely result in more job cuts. The company has heavily automated its warehouse operations, and robots are doing more of the work. Jassy said there would soon be more robots than human workers in those facilities, as automation continues to expand.

Previous layoffs and holiday hiring

In 2023, because of global economic challenges, Amazon laid off about 27,000 employees across several departments. The company said, at the time, that the cuts were part of an ongoing effort to control costs and adapt to changing business conditions.

Meanwhile, the tech giant announced it is looking to hire 250,000 seasonal employees to help with the holiday demand.

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Ella Rae Greene, Editor In Chief

Ella Greene

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