Massive Layoffs Loom: Amazon's Workforce Shake-up

Amazon is preparing for significant cuts, with plans to eliminate up to 30,000 corporate positions starting Tuesday. The decision comes as the retail giant seeks to reduce expenses following an overhiring spree during the pandemic's peak demand, according to sources familiar with the development. Although this figure represents a small fraction of Amazon's 1.55 million employees, it accounts for nearly 10% of its corporate workforce.

These layoffs are poised to become the largest since Amazon cut around 27,000 jobs in late 2022. The company has been quietly reducing its workforce across several divisions, such as devices, communications, and podcasting, but the latest cuts could impact a broader range of departments, including People Experience and Technology, devices and services, and operations, insiders noted.

Amazon declined to comment on the matter, but managers of the affected teams are undergoing training on how to handle staff communications, with notifications to begin via email on Tuesday morning. In contrast to the layoffs, Amazon shares rose by 1.5% to $227.53, with the company set to announce its third-quarter earnings on Thursday.