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Amazon mass layoff plan hits cloud and HR departments

Amazon 9,000 mass layoffs hit HR and cloud units

Amazon has started layoffs in its cloud computing and human resources departments as part ongoing plan to 9,000 job cuts.

Amazon Web Services CEO Adam Selipsky and human resources chief Beth Galetti sent notes to those affected in the US, Canada, and Costa Rica.

Last week, the company axed some workers in its advertising division and eliminated roles in its video games and Twitch live streaming units.

Read More: Amazon’s Whole Foods announces layoffs to rein in costs

Earlier this year, the Seattle giant completed a separate wave of layoffs that impacted around 18,000 people. 

Amazon’s recent spates of terminations make it the largest layoffs in its 29-year history.

CEO Andy Jassy is aggressively trimming costs as the firm faces an economic slowdown and sluggish growth in its retail wing.

The company has also paused corporate hiring, slashed experimental projects, and suspended warehouse expansion.

Jassy’s actions showed two of Amazon’s largest and most profitable businesses, ads and AWS, are not immune to cost-cutting measures. 

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Both divisions have seen slower growth in recent months as firms cut down on spending in the face of economic headwinds.

Some AWS teams were affected by the previous wave of layoffs. 

A source said part of the cuts on Wednesday, April 16, is expected to hit AWS’ professional services unit.

During the Covid, AWS headcount grew drastically, which proved to be a windfall for Amazon and other cloud providers as firms, governmental agencies, and schools rushed their shift to the cloud.

Source: CNBC

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