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Amazon will lay off 9,000 white-collar employees by the end of April, CEO Andy Jassy
announcedon Monday (March 20), on top of the 18,000 jobs the online retailers has cut since November.
The decision comes amid a crunch in the tech industry that has led the e-commerce giant to cut its more than 1 million worldwide workforce with the company’s largest workforce reduction ever. Jassy cited economic headwinds in a memo to employees.
“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,” Jassy said, specifically announcing cuts in some of Amazon’s most profitable sectors, including Amazon Web Services, which is responsible for
almost three-quarters of Amazon’s entire profit margin.
The decision comes after Amazon went on a significant hiring spree during the pandemic. The previous round of layoffs
targeted Amazon’s sprawling human resources and recruiting teams, signaling a major shift in hiring strategy.
With over 1 million workers, Amazon is one of the largest employers in the world, however the vast majority of the workforce is employed in the company’s warehouse operations.