New Delhi: Amazon the world’s largest e-commerce company, has once again taken a major step in the tech sector. The company has eliminated 14,000 corporate employees. This layoff is considered the largest since the reduction of 27,000 employees in 2022. Amazon currently employs approximately 350,000 corporate employees, and the impact of these layoffs will be clearly visible in their work structure.
Which Divisions Will Be Affected?
This layoff by Amazon comes at a time when the tech industry is investing heavily in artificial intelligence (AI) and automation. Companies like Google, Microsoft, and Meta are also investing significant resources in AI projects.
Amazon’s layoffs will primarily occur in the People Experience and Technology (PXT), Operations, Devices and Services, and Amazon Web Services (AWS) divisions. These divisions are expected to see significant employee reductions. Managers of the affected teams have already been trained.
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Reason Behind Layoffs
Amazon Senior Vice President Beth Galetti, in a message to employees, stated that this move is part of a strengthening of the organization. She stated that the aim is to remove unnecessary layers, reduce bureaucracy, and focus resources on areas most critical to customers’ current and future needs.
Amazon CEO Andy Jassy recently stated that the use of AI can automate repetitive tasks, reducing the need for manual work. Additionally, he has mandated that corporate employees attend the office five days a week. Some employees protested this policy, leading to layoffs.
Temporary Hiring During Festive Season
Despite these layoffs, Amazon has announced the hiring of 250,000 temporary employees for the upcoming festive and holiday season. The company believes that seasonal workers will help meet the increased demand during the holidays.
Impact On Tech Industry
This layoff is considered the largest single round of job cuts in the tech sector since 2020. This move by Amazon will not only affect its employees but could also impact the entire tech industry. Experts say that due to the increasing adoption of AI and automation, similar changes are possible in more companies in the future.
This Amazon layoff has made it clear that job security in the tech world is no longer the same, and employees will now have to adapt to new technology and automation.