Amazon confirmed on Wednesday, October 7, that it cut what it described as a small number of jobs, mainly in its Stores unit, which oversees the main e-commerce website. Reuters reports that the move coincided with Prime Big Deal Days, one of Amazon's biggest shopping events, which started Tuesday and ran through Wednesday.
How Many Jobs Were Cut?
A person familiar with the matter told Reuters that Amazon let go fewer than 1,000 white-collar workers. Business Insider reported the layoffs first. Employees in the US, India and the UK were among those affected.
Which Teams Were Hit?
An internal Slack channel indicated that several divisions within Stores were involved. They included customer service and selling partner services. Other units across Amazon may also have been affected.
What Amazon Said
A spokesperson said in an emailed statement that the company has adjusted parts of its Stores business because it believes the new structure will better enable it to deliver on its priorities.
Bezos on Overhiring
In a Fox News interview aired Wednesday, Amazon founder and executive chairman Jeff Bezos said continued job cuts have been necessary because the company overhired during the pandemic. He said, in part, that the team worked extremely hard but "we really grew our headcount."
How This Fits Amazon's Larger Cuts
- The latest cuts are the most recent in a series of small reductions.
- They follow a larger round of about 30,000 corporate job cuts that began last year and continued into January, according to Reuters.
- In January, Axios reported a round of 16,000 cuts that took layoffs since October to roughly 30,000.
- This week's announcement does not signal a new 30,000-job restructuring.
Key Takeaways
- Amazon cut fewer than 1,000 mostly white-collar jobs, primarily in Stores.
- Customer service and selling partner services were among the affected teams.
- Employees in the US, India and the UK were hit.
- Bezos attributes continued cuts to pandemic-era overhiring.