As Expected, Amazon Announces Layoffs

Posted on November 16, 2022 by Paul Thurrott in Amazon with 7 Comments

Amazon announced that it was laying off an unknown number of employees just days after multiple reports suggested the number could be as high as 10,000 and that many would come from the business that creates and sells Alexa-powered devices.

“After a deep set of reviews, we recently decided to consolidate some teams and programs,” Amazon senior vice president Dave Limp wrote in a message to the firm’s Devices & Services organization. “One of the consequences of these decisions is that some roles will no longer be required. It pains me to have to deliver this news as we know we will lose talented Amazonians from the Devices & Services org as a result. I am incredibly proud of the team we have built and to see even one valued team member leave is never an outcome any of us want.”

CNBC, The New York Times, and The Wall Street Journal had separately reported that Amazon would layoff about 10,000 employees, the largest cut to its workforce in history. The cuts were to come from across the company, including its devices, retail, and human resources divisions.

Mr. Limp told his employees that those who cannot find a new job within the company will be given a package with separation payment, transitional benefits, and external job placement support. He also stressed that Amazon won’t stop innovating with new devices, noting that the “Devices & Services organization remains an important area of investment for Amazon.”

“As we’ve gone through this, given the current macro-economic environment (as well as several years of rapid hiring), some teams are making adjustments, which in some cases means certain roles are no longer necessary,” an Amazon statement explains. “We don’t take these decisions lightly, and we are working to support any employees who may be affected.”

Amazon has nearly 1.6 million employees, mostly in its warehouses.