The layoff saga continues to haunt the global tech employees as the e-commerce major Amazon announces another round of layoffs in an attempt to cut its costs. A CNBC report suggests that this round of layoffs will impact the employees from the advertisement business, cloud computing and human resource (HR) teams.
The report stated that Paul Kotas, the vice president (VC) of advertising told employees about the possible trimming down. A spokesperson from Amazon, aware of the development, shared the memo with CNBC, which added, "As Andy shared a few weeks ago, throughout the 2023 planning process, we’ve been scrupulously prioritizing resources with an eye toward maximizing benefits to customers and the long-term health of our business. For Ads, this process has involved reallocating resources by shifting team members, slowing down or stopping certain programs, or concluding we didn’t have the right skills in place to address our priorities. As a result, we have made deeply-considered decisions about how best to move forward, resulting in role eliminations for a small percentage of our organization."
The impacted employees will receive full pay and benefits for 60 days. Employees, who are working in New York and New Jersey will receive the benefits for 90 days.
Prior to this, Amazon announced to fire nearly 9,000 employees last month. In January, it planned to cut down 18,000 jobs.
The global tech sector witnessed massive hardships last year. A Mint report suggested that around 1,50,000 staff lost their jobs in 2022. Big tech players like Twitter and Meta were seen trimming down their employee numbers to keep their companies on profitability track. Twitter fired 7,500 workers after the acrimonious takeover by the maverick billionaire Elon Musk. Meta also announced laying off 11,000 employees last year.
This year has also not been very different for the tech workers. Meta today announced a fresh round of layoffs which might affect 4,000 employees. Google’s parent Alphabet and Walmart also fired 12,000 and 10,000 staff respectively.
