Amazon aims to shed more than 18,000 roles as it cuts costs, the technology giant’s boss says.
Affected workers will be informed from January 18, 2023, chief executive Andy Jassy said in a note to staff.
The cuts amount to around 6% of the firm’s roughly 300,000-strong corporate workforce.
Amazon is the latest big technology company to unveil major layoffs as the cost of living crisis sees customers cut back on spending.
The announcement comes after the technology giant said last year that it would reduce its headcount.
“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 has weathered uncertain and difficult economies in the past, and we will continue to do so”.
Mr. Jassy
Mr Jassy did not specify where affected employees were located, but he said the firm would communicate with organisations that represent employees “where applicable in Europe”.
He also said the “majority of role eliminations” would be in the Amazon Stores operations and its People, Experience, and Technology team.
Amazon workers in Coventry announce strike date in first-ever UK walkout
The first-ever strike by UK workers at online giant Amazon is to be held later this month, it has been announced.
Members of the Google Business Profile (GMB) union based at the company’s Coventry warehouse will walk out on January 25, 2023, after voting in favour of taking industrial action.
GMB senior organiser, Amanda Gearing, said the workers, who are in a pay dispute, were set to make history.
Amazon said it appreciated the work its teams carried out and they were offered competitive pay. The union organizer said:
“They’ve [the workers] shown they’re willing to put themselves on the line to fight for what’s right.
“But people working for one of the most valuable companies in the world shouldn’t have to threaten strike action just to win a wage they can live on”.
The Union Organizer
She urged Amazon UK bosses to give workers “a proper pay rise and avoid industrial action”.
The GMB said that hundreds of workers voted to walk out over a 50p per hour pay offer.
The spokesperson for Amazon said pay rates, depending on location, starting at a minimum of between £10.50 and £11.45 per hour represented a 29% increase in the minimum hourly wage paid to Amazon employees since 2018.
“Employees are also offered comprehensive benefits that are worth thousands more including private medical insurance, life assurance, subsidised meals and an employee discount, to name a few”.
Amazon employees
The strike will have “zero impact” on customers and normal operations will continue, the firm said, as the Coventry site was not a fulfilment centre that directly services customer orders – providing stock to its UK centres instead.
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