Amazon implements India layoffs to reduce workforce globally: Report

The downsizing round is part of the layoffs announcement made in March by Amazon CEO Andy Jassy, which was expected to impact 9,000 employees

BS Reporter Bengaluru

Photo: Bloomberg

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Amazon is reportedly laying off employees in India across different functions and businesses including human resources, support functions and Amazon Web Services (AWS). According to a media report, the firm has laid off about 500 employees.
The news couldn’t be independently verified. However, according to the sources, the layoff took place in April this year and the number of people sacked is far less than 500. 

The downsizing round is part of the layoffs announcement made in March by Amazon CEO Andy Jassy, which was expected to impact 9,000 employees. The cuts are on top of the previously announced layoffs that began in November and extended into January. Early this year Amazon started notifying its employees affected by its new round of layoffs, as a part of its plan to reduce its headcount by around 18,000 people.
In a memo to employees in March this year, Amazon CEO Andy Jassy said it was a “difficult decision” taken for the long-term benefit of the company. “ As we’ve just concluded the second phase of our operating plan (“OP2”) this past week, I’m writing to share that we intend to eliminate about 9,000 more positions in the next few weeks—mostly in AWS, PXT, Advertising, and Twitch,” Jassy had said. “ For several years leading up to this one, most of our businesses added a significant amount of headcount. This made sense given what was happening in our businesses and the economy as a whole. However, given the uncertain economy in which we reside, and the uncertainty that exists in the near future, we have chosen to be more streamlined in our costs and headcount.”

Last year in November,  Amazon India decided to shut down ‘Amazon Distribution’, as part of its annual operating planning review process, according to sources. This followed its decision to shut down its food delivery and edtech offerings. The moves were part of the annual operating planning review process amid global macroeconomic uncertainty. The e-commerce giant was looking to focus on its core businesses, sources said.

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First Published: May 15 2023 | 11:40 PM IST

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