Amazon Can Fire 20,000 Employees: 6% Workforce Can Be Fired Which Is 100% More Than We Expected
Latest report reveals that the layoffs announced by the Jeff Bezos founded e-commerce giant Amazon are likely to impact double the number of employees than reported earlier.
Amazon Layoffs Affecting Mass Workforce
This new report indicates that internet giant Amazon is planning to cut around 10,000 jobs in corporate and technology roles following the massive layoffs at Meta and Twitter.
Reportedly, the company leaders have been told to identify work performance problems among the employees.
If Amazon lays off 20,000 employees then it would result in a reduction of about 6 percent of its corporate staff.
This is about 1.3 percent of Amazon’s 1.5 million-strong workforce, as per a recent news report.
Who Will Get Affected By This Lay Off?
Now it seems that the e-commerce giant might give pink slips to double the number of employees i. e. 20,000, across the company in the coming months.
This move will affect distribution center workers, technology staff and corporate executives.
In a broader sense, employees at all staff levels (from level 1 to level 7) are likely to be impacted by these layoffs, sources said with direct knowledge of the matter.
During mid-November media reported that Amazon would also fire employees following the footprint of the tech giants like Meta and Twitter.
According to the Amazon company contracts, the employees impacted by this lay off will be given a 24-hour notice and severance pay.
Why Would This Happen?
“There is a sense of fear among employees in the company as the news has come out,” sources said.
Further adding that there is no specific department or location mentioned for the cuts and it is across the business.
The reason behind these mass layoffs are said to be the result of over-hiring during the pandemic.
Now, the need for cost-cutting has arisen as the company’s financials have been on a declining trend, as per the source.
On November 17, Andy Jassy, CEO of the e-commerce major, had confirmed that layoffs were occurring without divulging any details on the number of employees to be laid off.
Jassy noted, “Our annual planning process extends into the new year, which means there will be more role reductions as leaders continue to make adjustments. Those decisions will be shared with impacted employees and organizations early in 2023,” in a public message.
Further, he stated that Amazon had already communicated that layoffs would occur in the Devices and Books businesses.
The company would be extending a voluntary reduction offer for some employees in the People, Experience, and Technology (PXT) organization.