Amazon CEO Andy Jassy Says 'Most Difficult Decision' Of Layoffs Will Extend Into 2023

The mass layoffs that began at Amazon earlier this week will extend into next year, the e-commerce giant¡¯s CEO, Andy Jassy, has said.

In a note sent to employees, CEO Jassy said the company told workers in its devices and books divisions about layoffs on Wednesday. He said it also offered some other employees a voluntary buyout offer, as per the Associated Press.

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"Most Difficult Decision"

"I've been in this role now for about a year and a half, and without a doubt, this is the most difficult decision we've made during that time (and, we've had to make some very tough calls over the past couple of years, particularly during the heart of the pandemic)," Jassy reportedly wrote in the memo.

Seattle-based Amazon, which has been cutting costs in various areas of its business in the past few months, is undergoing an annual review process to figure out where it can save more money. Its CEO, Jassy, said this year's review is "more difficult" due to the economic landscape and the company's rapid hiring in the last several years.

Earlier this week, on Tuesday, Amazon notified authorities in California that it would lay off about 260 corporate workers at various facilities.

CEO Jassy reportedly said Amazon hasn't concluded how many other jobs will be impacted.

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He noted there will be reductions in certain divisions as the company goes through its annual review process, which will continue into next year. As they weigh job cuts, he said, leaders at the company will prioritise what matters most to customers and the long-term health of the company. The e-commerce giant is offering severance packages for employees who leave the company.

Amazon employs more than 1.5 million workers globally, primarily hourly workers, as per the report.

Amazon's mass layoffs, which are likely to affect around 10,000 employees globally, are also likely to include hundreds of job cuts in India.

Also Read: 66% CEOs In India Expect Recession In Next 1 Year, Says Study

Mass Layoffs At Other Giants

Among other giant organisations that have announced mass layoffs in recent months are Facebook parent Meta, Elon Musk¡¯s Twitter and Tesla, Ford, Intel, Microsoft, Snap, Goldman Sachs, Credit Suisse, and many more. Amid the economic slowdown and growing recession fears, many companies have been laying off employees and slowing down or even freezing hiring in a bid to cut costs.

In September this year, Alphabet and Google CEO Sundar Pichai also hinted at possible layoffs; however, the tech giant has yet to announce such a move.

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