Amazon Unveils Latest Round of Job Cuts as Tech Industry Struggles to Adapt
In a move that underscores the shifting economic landscape, Amazon has laid off approximately 16,000 employees in its latest round of mass layoffs, according to Beth Galetti, senior vice president at the e-commerce giant. The job cuts follow a similar reduction in October when Amazon eliminated 14,000 positions.
Galetti explained that US-based staff will have the opportunity to explore internal promotions within the company's 90-day window. Those who fail to secure new roles or opt not to pursue opportunities will be eligible for severance pay, outplacement services, and continued health insurance benefits.
Despite continuing to cut jobs, Galetti emphasized Amazon's commitment to strategic investments in areas that are critical to its future growth. This approach contrasts with the company's previous layoffs, which marked one of the largest since 2023 when it eliminated 27,000 positions.
Amazon's workforce more than doubled during the COVID-19 pandemic as consumers turned to online shopping to cope with lockdowns and social distancing measures. However, in subsequent years, tech giants and retailers have faced pressure to normalize spending patterns by reducing staff.
The job market has shown signs of hesitation as the US labor statistics reveal an increase of only 50,000 new positions in December, which is nearly unchanged from November's revised figure of 56,000. This trend suggests that companies are reluctant to hire additional workers despite economic growth.
The reluctance to add employees is likely driven by several factors, including business uncertainty stemming from shifting tariff policies under President Donald Trump, rising inflation, and the emergence of artificial intelligence, which may either augment or supplant certain jobs.
In a move that underscores the shifting economic landscape, Amazon has laid off approximately 16,000 employees in its latest round of mass layoffs, according to Beth Galetti, senior vice president at the e-commerce giant. The job cuts follow a similar reduction in October when Amazon eliminated 14,000 positions.
Galetti explained that US-based staff will have the opportunity to explore internal promotions within the company's 90-day window. Those who fail to secure new roles or opt not to pursue opportunities will be eligible for severance pay, outplacement services, and continued health insurance benefits.
Despite continuing to cut jobs, Galetti emphasized Amazon's commitment to strategic investments in areas that are critical to its future growth. This approach contrasts with the company's previous layoffs, which marked one of the largest since 2023 when it eliminated 27,000 positions.
Amazon's workforce more than doubled during the COVID-19 pandemic as consumers turned to online shopping to cope with lockdowns and social distancing measures. However, in subsequent years, tech giants and retailers have faced pressure to normalize spending patterns by reducing staff.
The job market has shown signs of hesitation as the US labor statistics reveal an increase of only 50,000 new positions in December, which is nearly unchanged from November's revised figure of 56,000. This trend suggests that companies are reluctant to hire additional workers despite economic growth.
The reluctance to add employees is likely driven by several factors, including business uncertainty stemming from shifting tariff policies under President Donald Trump, rising inflation, and the emergence of artificial intelligence, which may either augment or supplant certain jobs.
just another company cutting jobs 
16k in one go? that's like a small town being wiped out 
can't say I'm surprised though, tech industry has been struggling to adapt for ages 
Amazon was growing so fast during the pandemic, but now it's all about trying to stay profitable 
my concern is what's gonna happen to those people who lose their jobs? 
they're not just employees, they're families and communities 
16k job cuts in one round? that's crazy! Amazon's been on a roll with these layoffs... i'm not sure what's more concerning - the number itself or the fact that they're still saying they're investing in strategic areas 
. It's all a bit overwhelming.
That's crazy! I mean, I knew tech was a tough industry but... how many more staff have to get chopped before things settle down? 
It's like, we need these jobs just as much as the fancy stuff Amazon is investing in. I don't know, maybe I'm just nostalgic for a time when working wasn't such a gamble...
... feel so bad for those 16,000 ppl losing their jobs 
. it's not just the financial hit, but also the uncertainty and stress that comes with it... hope they get good severance pay and outplacement services 
. meanwhile, I'm glad Amazon is investing in areas that'll help them grow 
, but can't we have a more stable economy? 
16k employees can't be just a number, you know? they're ppl with families, ppl with dreams 
and now they gotta worry about their future?! 
it's like amazon is just trying to adapt or something... like, I get it, the tech industry is tough, but can't we find ways to support each other instead of cutting ppl loose? 
. Still, you gotta wonder what this means for the job market... 
I mean, 50,000 new jobs added in December? That's a pretty low number 
. It just goes to show how uncertain things are right now 
.
. i mean, the economy is still growing, but maybe companies are just being cautious due to all these uncertain factors like trade policies and inflation. and let's be real, AI is changing the game 
. It's a balancing act, and I guess only time will tell how this plays out 
. The US labor stats do show some hesitation from hiring new workers - 50,000 new positions? That's pretty slow for an economy that's growing 
guess only time'll tell if amazon's strategy will pay off or not 
. Anyway, I guess that's just the way the cookie crumbles now 
.
. And then there's this AI stuff... I mean, will robots really take our jobs? 
. 
.
. All this talk about tech giants adapting to a changing market just doesn't add up for me 
. It's like we're all stuck in some kind of economic purgatory