Amazon Layoffs On The Horizon

Liz Morton ~ Founder
Liz Morton ~ Founder


UPDATE 11-16-22

Amazon layoffs have begun, SVP Devices and Services Dave Limp announcing cuts in his department.

A team update from Dave Limp
The message below was shared with the Devices & Services organization earlier today.

Amazon is expected to announce layoffs of approximately 10,000 people, possibly starting this week, according to the New York Times (paywalled).

Amazon plans to lay off approximately 10,000 people in corporate and technology jobs starting as soon as this week, people with knowledge of the matter said, in what would be the largest job cuts in the company’s history.

The cuts will focus on Amazon’s devices organization, including the voice-assistant Alexa, as well as at its retail division and in human resources, said the people, who spoke on condition of anonymity because they were not authorized to speak publicly.

The total number of layoffs remains fluid. But if it stays around 10,000, that would represent roughly 3 percent of Amazon’s corporate employees and less than 1 percent of its global work force of more than 1.5 million, which is primarily composed of hourly workers.

The move would come after months of hiring freezes being announced across multiple parts of the business, including even historically profitable units such as Advertising and Amazon Web Services.

Amazon Institutes Hiring Freeze Through End Of Year
Amazon is the latest tech company to pull back on hiring as pandemic-fueled ecommerce boom wanes.

The belt tightening appears to be picking up speed after the company became the first public company to lose $1 Trillion in market value.

Amazon Becomes World’s First Public Company to Lose $1 Trillion in Market Value Inc. is the world’s first public company to lose a trillion dollars in market value as a combination of rising inflation, tightening monetary policies and disappointing earnings updates triggered a historic selloff in the stock this year.

Amazon of course is not the only tech company to announce layoffs. Facebook (Meta) and Twitter have both had massive cuts recently, Shopify laid off nearly a 1,000 employees in July, and PayPal cut 59 more jobs at its San Jose headquarters last week in addition to layoffs earlier this year.

PayPal Layoffs Continue As Pressure To Cut Costs Mounts
PayPal slashes jobs at headquarters in San Jose as well as risk management & ops across the US & Ireland.

So far eBay has escaped announcing any layoffs, but there are indications hiring has slowed significantly and there may be hiring freezes in some departments.

Could Hiring Slowdown, Layoffs Be On The Horizon At eBay?
As pandemic-fueled ecom boom wanes, tech companies are slowing hiring, announcing layoffs - is eBay next?
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