BREAKING: Amazon to reduce as much as 30,000 company jobs: report
Amazon is set to cut up to 30,000 corporate positions starting this week, according to a new report from JP. The company is looking to cut back on expenses and positions that were hired out during the high demand accompanying the pandemic because many were driven to shop online.
The 30,000 roles are a small portion of Amazon’s workforce of over 1.5 million workers. However, the cut is 10 percent of the ecommerce giant’s 350,000 corporate jobs.
The cut at Amazon will be the largest job cut since late 2022 where 27,000 roles were eliminated. The online shopping giant has been paring back jobs in multiple divisions over the past few years in various departments. With this job cut, it was impact a number of divisions, including human resources, services, operations, and others, sources told the outlet.
On Monday, those with teams being impacted were asked to conduct a training for communication with staff following the cuts. Emails to those getting cut will start going out on Tuesday. Amazon has also been taking steps to implement AI into its business model. The job cuts also come after a report in the New York Times last week said the company is looking to replace half a million roles with robots.
The workforce of the company has tripled since 2018. As the company is expanding its supply chain and warehousing operations, Amazon has tried to create fulfillment centers with as few people being hired as possible. The Amazon robotics team has the ultimate goal of 75 percent of the operations being automated, the New York Times reported.
Third party sellers on the platform have also seen changes on the Amazon Seller application, with the launch of an AI seller assistant still in the beta stage. In the report from the Times, the company said that it plans to bring on 250,000 workers for the holiday season, however those roles will likely be associated with fulfilment and delivery due to increased demand for shipping around Christmas time. Amazon declined to say how many of those 250,000 roles would be permanent when speaking to the Times.