Amazon plans to lay off an additional 9,000 employees over the next several weeks, adding to the 18,000 workers it laid off starting in late 2022.
The latest job cuts will be concentrated in Amazon Web Services,
Twitch, advertising, and the PTX (people, experiences, and tech) units.
- In a memo
to employees, CEO Andy Jassy cited the “uncertain economy," saying
Amazon has decided “to be more streamlined in our costs and headcount.”
- In January, he confirmed that Amazon would lay off 18,000 employees, up from previous estimates of 10,000 workers.
- The
latest job cuts weren't included in that round because not all of
Amazon's teams had finished their assessments at the same time last
year.
- Instead of rushing through the analyses without
diligence, Amazon chose to share these decisions as we’ve made them so
people had the information as soon as possible," Jassy wrote.
- Last month, Amazon said it expects slower growth this year amid a pullback in spending.
- At that time, the company reported fourth-quarter sales of $149.2B, a 9% increase from the prior year, though it forecasted that sales in the current quarter will be lower than expected.
- Amazon Web Services, its cloud division, reported 20% sales growth for the quarter, a slowdown over the previous quarter.
- Many cloud customers are cutting their spending in the midst of economic uncertainty, executives said.
