In the U.S., there is so much uncertainty for tech and retail workers.Amazon remains an incredible success story. However, it will soon suffer its second significant setback. This is coming after losing over a trillion shares of stock last week. For this reason, the retail giant is likely to lay off around 10,000 employees this week. At least that’s what the renowned New York Times (NYT) claims.
Gizchina News of the week
Amazon staff in its business/management and technology departments will be hit more. This will be the biggest layoff in Amazon’s history. According to the NYT, the layoffs will primarily focus on the device area. It specifically mentions the Alexa language assistant. It will also affect the retail area and the human resources department. The exact number of layoffs has not yet been determined. Unlike last week at Meta, the layoffs will not be announced at once. It will be carried out gradually. The reason for this is that the respective teams should complete their current work. After this, it will decide how many people have to go.
Alexa and Echo post losses
The biggest structural changes are probably in the device area. There have been signs that Amazon is not happy with the performance of its devices. The reason for this is of course losses. In recent years, Amazon Echo and Alexa divisions have collectively lost about $5 billion.
In addition, there is tension in the global economy. This of course makes things difficult for a company like Amazon. Of course, 10,000 employees are not exactly a lot when you look at the total number. This is because Amazon has around 1.5 million people working for the group worldwide. However, not all of these people are direct employees.