Amazon to cut another 9,000 jobs

Mar 20, 2023

Amazon has announced it will cut another 9,000 jobs in the next few weeks.

The reductions will be made to the company’s cloud services, advertising and Twitch units, and follows the 18,000 job cuts the business announced in January.

In a message to staff, CEO Andy Jassy said “uncertain economic conditions” were behind the decision.

In the memo, Mr Jassy wrote: “As we’ve just concluded the second phase of our operating plan this past week, I’m writing to share that we intend to eliminate about 9,000 more positions in the next few weeks – mostly in AWS, PXT, Advertising, and Twitch.

“This was a difficult decision, but one that we think is best for the company long term.

“To those ultimately impacted by these reductions, I want to thank you for the work you have done on behalf of customers and the company.

“It’s never easy to say goodbye to our team-mates, and you will be missed.”

Amazon also revealed separate plans to shut three UK warehouses and seven delivery stations in January, affecting more than 1,200 further jobs.

It comes following a series of job cuts across the Big Tech industry.

Last week, Facebook-parent Meta Platforms said it would cut 10,000 jobs this year, following a first wave of layoffs in Autumn last year, where the tech firm cut 11,000 jobs.

In January, Alphabet, the parent company of Google, announced 12,000 workers would be made redundant globally.

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Recession fears have hit both corporate and consumer spending globally, leading to the likes of Apple, Alphabet and Amazon all signalling a tough recovery from the highs of 2021.

After exploding in popularity during the pandemic and hiring some additional 800,000 workers, Mr Jassy has tried to sharply reduce spending, cutting non-essential business arms and slowing hiring, after Amazon’s share price fell by nearly 50% last year.

The drop wiped about £678bn from the company’s market valuation.

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