The online retail giant Amazon is blaming the need for job losses on ‘economic uncertainty’, following a period of rapid hiring.
Amazon has announced that it will cut 18,000 jobs as a cost-cutting measure, from regions including Europe. The online retailer has not confirmed which countries will see job losses, but has said most will be within its People, Experience and Technology (PXT) organisation as well as its Amazon Fresh and Go stores.
The layoffs follow others made in November 2022 across Amazon’s Devices and Books businesses. At the time, employees were offered a voluntary reduction package applicable to some of those within its PXT organisation.
In an internal message shared with employees, Amazon CEO Andy Jassy said planning for 2023 has been made more difficult due to economic uncertainty and the fact Amazon has hired rapidly over the past few years.
He added: “S-team and I are deeply aware that these role eliminations are difficult for people, and we don’t take these decisions lightly or underestimate how much they might affect the lives of those who are impacted. We are working to support those who are affected and are providing packages that include a separation payment, transitional health insurance benefits and external job placement support.”
Those affected by the job cuts will be informed starting 18th January, either by Amazon directly or their representative bodies if in Europe. The statement also noted that the timing of the announcement had been brought forward following an external leak by an Amazon employee.