"Beth Galetti, a senior vice president at the ecommerce company, made the announcement Wednesday in a blog post. The latest reductions follow a round of job cuts in October, when Amazon laid off 14,000 workers. She said U.S.-based staff would be given 90 days to look for a new role internally. Those who are unsuccessful or don't want a new job will be offered severance pay, outplacement services and health insurance benefits, she said."
"Amazon's workforce doubled during the COVID-19 pandemic as millions stayed home and boosted online spending. But in the following years, big tech and retail companies cut thousands of jobs to bring spending back in line. Hiring has stagnated in the U.S. and in December, the country added a meager 50,000 jobs, nearly unchanged from a downwardly revised figure of 56,000 in November. Labor data points to a reluctance by businesses to add workers even as economic growth has picked up."
Amazon is cutting about 16,000 jobs in the latest round of reductions, following 14,000 cuts in October and 27,000 cuts in 2023. U.S.-based staff will have 90 days to seek internal roles; those who do not secure new positions or opt out will receive severance pay, outplacement services, and health insurance benefits. The company will continue hiring and investing in strategic areas. The workforce doubled during the COVID-19 pandemic as online spending rose, but many tech and retail firms later trimmed staff to align spending. Sluggish hiring, tariff uncertainty, inflation, and AI concerns have constrained new hiring.
Read at ABC7 Los Angeles
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