Amazon to cut over 18,000 jobs, says CEO Andy Jassy; workers to know employment status by Jan 18
E-commerce giant Amazon unveiled its plan to cut more than 18,000 jobs as it cuts costs, chief executive Andy Jassy said.
In a note to his staff, Jassy said, "Between the reductions we made in November and the ones we're sharing today, we plan to eliminate just over 18,000 roles."
He added that affected workers will be informed from January 18. These 18,000 workers stand for 6 per cent of the firm's nearly 300,000 corporate workforces, AFP reported.
Admitting layoffs to be a difficult decision for people, Jassy said that the company is working towards helping with that. He said, " 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."
He added that Amazon has weathered uncertain and difficult economic times in the past and will continue to do so.
Not mentioning any specific region for layoffs, he indicated that some of the layoffs will be in Europe.
According to him, this sudden announcement was made as one of Amazon's teammates leaked this information externally.
Two months ago, the e-commerce giant said that it will focus on cutting expenses in its annual business review operation. It had already introduced a hiring freeze and even halted some of its warehouse expansions.
It even closed some of its businesses and cancelled many projects.
In November, the company said that it will begin its layoffs but did not give a specific amount.