Amazon is cutting about 14,000 jobs as part of an “organizational change” to “emerge even stronger by further cutting bureaucracy, removing layers and shifting resources to ensure we're investing in our biggest bets and what matters most to our customers' current and future needs.”
IN statement Posted on Amazon's website, senior vice president of human resources and technology Beth Galetti said that while it “will include cuts in some areas and hiring in others,” it will result in an “overall reduction in our corporate workforce of approximately 14,000 positions.”
Although not detailed in this statement, Reuters reports that these cuts will affect a number of corporate divisions, including Human Resources, Operations, Devices and Services, and Amazon Web Services, the latest of which recently shut down a third of the Internet after a crashincluding Fortnite and PSN from Epic Games.
Bloomberg says its gaming business will also take a hit, with a “significantly reduced role” in its Irvine and San Diego offices as the company “reduces[s] the amount of work he does on big budget games, especially MMOs.”
Most employees at risk of layoffs have 90 days to find a new internal job, and those who cannot be transferred internally are offered “severance pay, outplacement services, health insurance benefits and more.”
Galetti also noted that “this generation of artificial intelligence is the most transformative technology we have seen since the Internet, and it allows companies to innovate much faster than ever before.”
“Some may ask why we are cutting roles when the company is doing well. Across all areas of our business, we deliver outstanding customer experiences, rapid innovation and strong business results every day,” said Galetti.
“We need to remember that the world is changing quickly. This generation of artificial intelligence is the most transformative technology we have seen since the Internet, and it allows companies to innovate much faster than ever before (in existing market segments and entirely new ones).
“We believe we need to be more organized, with fewer layers and more responsibility, to move as quickly as possible in the best interests of our clients and business.”
Reuters reports that Amazon CEO Andy Jassy is struggling with “excessive bureaucracy.”
