Amazon Plans 16,000 Job Cuts in Second Large-Scale Layoff This Year

Amazon (NASDAQ:AMZN) said on Wednesday it will eliminate 16,000 roles globally, marking its second major round of job cuts in the past three months as the company continues to reshape its workforce following pandemic-era hiring and accelerates the use of artificial intelligence across its operations.

The move follows the reduction of 14,000 corporate positions announced in late October, part of a broader effort outlined by chief executive Andy Jassy to streamline decision-making, reduce layers of management and cut back what he described as excess bureaucracy.

In an internal memo to staff, Beth Galetti, senior vice president of People Experience and Technology, said that while many teams completed their restructuring plans in October, others have only now finished reviewing their organizational setups.

Most employees in the United States who are impacted will be given 90 days to explore alternative roles within the company, while timelines for workers in other countries will depend on local labor regulations. Those who do not secure a new position, or opt not to pursue one, will be offered transition support, including severance packages, outplacement assistance and continued health benefits where applicable.

Galetti stressed that the latest announcement does not signal a cycle of repeated, company-wide layoffs every few months, but noted that teams will continue to assess “ownership, speed, and capacity to invent for customers” and make changes when necessary.

Amazon is due to release its next set of quarterly earnings results next week. The company’s shares are up about 8% so far this year.

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