Amazon plans to eliminate 18,000 positions, CEO Andy Jassy wrote in a message sent Wednesday to employees.
The New York Times in November reported that the Seattle-based company planned to lay off up to 10,000 workers in its devices and books businesses. Amazon, without confirming that number, this week said it had offered voluntary severance to affected employees in its people, experience and technology group. Amazon also revoked job offers to an unspecified number of future employees and said it had frozen corporate hiring until some point in 2023.
Jassy’s message confirms the layoffs will total 18,000 once the latest round of cuts is complete. Affected employees will be notified Jan. 18. Positions to be cut are across many teams but are centered in the Amazon Stores group and the people, experience and technology division, Jassy said.
“We don’t take these decisions lightly or underestimate how much they might affect the lives of those who are impacted,” Jassy said. “We are working to support those who are affected and are providing packages that include a separation payment, transitional health insurance benefits and external job placement support.”
Amazon had not planned to announce the layoffs until affected workers were informed but decided to after an employee leaked the information, Jassy wrote.
“Amazon has weathered uncertain and difficult economies in the past, and we will continue to do so. These changes will help us pursue our long-term opportunities with a stronger cost structure; however, I’m also optimistic that we’ll be inventive, resourceful, and scrappy in this time when we’re not hiring expansively and eliminating some roles,” Jassy said.
Correction: In a previous version of this article, the number of jobs Amazon planned to cut in November was misattributed. The New York Times reported that Amazon planned to eliminate 10,000 positions.