Amazon layoffs 2022: Over the next few days, the company plans to lay off as many as 10,000 workers, primarily from the devices division, retail, and HR departments.
According to sources familiar with the situation, Amazon is planning the largest round of layoffs in its history, beginning as early as this week, and affecting roughly 10,000 workers in corporate and technology roles.
The people claimed that the retail division, human resources, and Amazon’s gadgets organization would be hit hardest by the layoffs. Alexa, Amazon’s voice assistant, is also expected to be a target of the cuts.
One source has suggested that the amount of layoffs is still up in the air and would likely be implemented in stages as each company completes its planning. However, if it remains at approximately 10,000, that would only account for about 3% of Amazon’s corporate staff and less than 1% of its global workforce of over 1.5 million, the vast majority of whom are hourly employees.
Why Amazon layoffs 2022
Because of the deteriorating global economy, Amazon has decided to cut back during the crucial holiday shopping season, a time of year it has historically prioritized stability.
Amazon would join the ranks of other tech firms that have recently been fighting to keep from laying off employees. In light of “a particularly competitive labor market,” the e-commerce behemoth has more than doubled the maximum cash compensation it will offer its technology employees this year.
A few months into this year, however, Amazon’s growth slowed to its lowest rate in two decades as the bullwhip of the pandemic snapped. High costs resulted from the company’s overinvestment and quick expansion, while shifting consumer preferences and rising prices weighed on revenue.
In the most recent fiscal period, Amazon saw a small improvement. However, it has warned investors that growth could slow to its lowest pace since 2001.