Tech giant Amazon on January 18 said it is reducing its workforce at its Buy with Prime unit and cutting 5 percent of jobs in the service, as per a Reuters report.
Around 30 employees at the unit have been affected by the cut, a source told Reuters. However, the exact number of employees in this unit was not specified.
Launched in 2022, Buy with Prime provides fulfilment and delivery services through Amazon’s logistics network to retailers not affiliated with the platform. Despite the job cuts, Amazon said the unit remains a top priority, with a commitment to “continue investing significant resources”.
Amazon further said that it is actively supporting the laid-off staff in securing roles both within and outside the company.
Broader Workforce Adjustments
This announcement follows Amazon’s recent layoffs in other divisions, including several hundred employees in its streaming and studio operations. Notable workforce reductions were also reported in the Twitch live-streaming platform and the Audible audiobook unit.
Twitch announced that it was laying off one-third of its staff, that is, 500 employees, from the company due to financial struggle; while Audible section said it also plans a 5 percent cut of its workforce. The online shopping giant also stated that it was slashing hundreds of employees in its entertainment division.
The layoffs at Audible followed others announced in Amazon’s Prime Video and MGM Studios unit, which is trimming hundreds of employees from its payroll as it cuts back in areas that are not delivering.
Tech companies like Amazon ramped up hiring during the pandemic, but they began cutting costs as inflation and interest rates spiked and their focus turned to profitability. The recent job cuts follow mass layoffs that began at Amazon in late 2022 and have impacted more than 27,000 employees. Most recently, Alphabet-owned Google disclosed earlier this week that it is laying off hundreds of employees within its advertising sales team.
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Published: 19 Jan 2024, 10:52 AM IST