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Amazon to cut 16,000 jobs globally in fresh round of lay-offs

The news of lay-offs at the retail technology giant comes only months after it axed 14,000 jobs

Related: Amazon to close physical 'Go' and 'Fresh' grocery stores, expand Whole Foods Market

Amazon plans to cut about 16,000 jobs globally as part of efforts to streamline its operations.

The latest round of lay-offs at the retail technology giant, confirmed in a blog post to staff, comes only months after it axed about 14,000 jobs.

It is understood that the majority of jobs impacted by the latest cuts will be in the US, but the UK operation will see some positions removed as well.

The company did not disclose how many UK workers will be affected.

Beth Galetti, senior vice-president of people experience and technology at Amazon, wrote: “As I shared in October, we’ve been working to strengthen our organisation by reducing layers, increasing ownership and removing bureaucracy.

“Some of you might ask if this is the beginning of a new rhythm – where we announce broad reductions every few months. That’s not our plan.”

Amazon laid off about 14,000 people in October
Amazon laid off about 14,000 people in October (Getty/iStock)

Galetti 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.

The layoffs are Amazon’s biggest since 2023, when the company cut 27,000 jobs.

The announcement came after the company appeared to have prematurely alerted Amazon Web Services cloud computing employees about lay-offs planned for Wednesday morning by sending a commiseration email and team-wide meeting invitation hours early.

The email, sent on Tuesday and signed by Colleen Aubrey, senior vice-president of applied AI solutions at AWS, wrongly said that impacted employees in the US, Canada and Costa Rica had already been informed they lost their jobs.

“Changes like this are hard on everyone,” Ms Aubrey wrote in the email. “These decisions are difficult and are made thoughtfully as we position our organisation and AWS for future success.”

Last year, the company’s president Andy Jassy suggested Amazon was likely to reduce its staff count over the coming years as it increases its use of AI for many tasks.

Amazon Fresh launched its first UK store in Ealing in 2021
Amazon Fresh launched its first UK store in Ealing in 2021 (PA)

The company employed around 1.57 million at the end of September last year, with about 350,000 of these across its corporate workforce, while the majority of employees work in its warehouses. It employs around 75,000 people across its operations in the UK.

Earlier this week, Amazon confirmed it would close its remaining Amazon Fresh and Go retail stores across the US, focusing instead on its Whole Foods store business.

Last September, Amazon announced the closure of its 19 Amazon Fresh stores across the UK, impacting around 250 jobs.

Rachel Fagan, organiser for the GMB union, said: “Amazon is showing itself for what it is; a company that cannot be trusted to do the right thing by working people in the UK.

“Amazon overseeing thousands of job losses will cause huge damage in towns and cities across the country.

“Now is the time for decision makers to see Amazon for what it is, a company fixated on eye-watering profits at the expense of workers and local people.”

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