Amazon cuts 16,000 jobs in latest round of layoffs
The latest reductions follow a round of job cuts in October, when Amazon laid off 14,000 workers.
PTI
New York, 28 Jan
Amazon is cutting about 16,000 jobs in the latest round of
mass layoffs for the tech industry.
Beth Galetti, a senior Vice President at the e-commerce
company, made the announcement Wednesday in a blog post.
The latest reductions follow a round of job cuts in October,
when Amazon laid off 14,000 workers.
She said US-based staff would be given 90 days to look for a
new role internally. Those who are unsuccessful or don't want a new job will be
offered severance pay, outplacement services and health insurance benefits, she
said.
“While we're making these changes, we'll also continue
hiring and investing in strategic areas and functions that are critical to our
future,” Galetti said.
The layoffs are Amazon's biggest since 2023, when thecompany cut 27,000 jobs.
Amazon's workforce doubled during the COVID-19 pandemic as
millions stayed home and boosted online spending. But in the following years,
big tech and retail companies cut thousands of jobs to bring spending back in
line.
Hiring has stagnated in the US, and in December, the country
added a meagre 50,000 jobs, nearly unchanged from a downwardly revised figure
of 56,000 in November.
Labour data points to a reluctance by businesses to add
workers even as economic growth has picked up. Many companies hired
aggressively after the pandemic and no longer need to fill more jobs. Others
have held back due to widespread uncertainty caused by President Donald Trump's
shifting tariff policies, elevated inflation, and the spread of artificial
intelligence, which could alter or even replace some jobs.
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