Amazon plans to lay off nearly 10,000 employees from the business and technology sectors, starting this week.
The layoff planned by Amazon will be the largest in the company’s history, and will primarily affect its hardware, retail, and human resources departments. The reported layoffs will represent less than 1 percent of Amazon’s global workforce.
The news of Amazon’s plan to lay off thousands of employees follows similar operations from other technology companies, as Meta announced last week that it would lay off more than 13% of its employees, which amounts to more than 11,000 employees, and Twitter laid off nearly half of its workforce in The days after Elon Musk acquired the company for $44 billion.
In late 2019, Amazon announced that its workforce had reached 798,000 employees, and then announced in December 2021 that it had 1.6 million full and part-time employees.
The total number of layoffs remains volatile and may change.
The year-end shopping season is crucial to Amazon, and it’s usually a season when the company increases staff to meet demand. But the company’s CEO, Andy Gacy, has been seeking since taking office in July 2021 to cut costs to preserve cash, as the company faces a slowdown in sales with the bleak situation of the global economy.
The company has already announced plans to freeze hiring in the retail sector. In recent months, Amazon has shut down its telehealth service, shut down a projector that allows children to video call their parents, shuttered all but one of its call centers in the United States, eliminated roaming delivery bots, and closed underperforming sales chains. It closed, canceled, or delayed some of the new warehouse locations.
Last October, Amazon reported disappointing earnings in the third quarter of this year, which raised investor fears and caused shares to drop more than 13 percent.
This was the first time that Amazon’s market value had fallen below a trillion dollars since April 2020, after which Amazon’s weak results triggered the sale of its shares by double, and the selling continued for several days in a way that erased all the rise The stock price achieved by the company during the Corona epidemic approx.
Amazon’s stock has fallen by about 41 percent this year and is on its way to its worst year since 2008.
