Troubled Times For Amazon As Company Opts To Fire 10,000 Employees This Week

After the likes of Twitter and Meta, it’s now Amazon that has opted to make the difficult decision to lay off its 10,000 employees.

The news comes as the company struggles to meet its financial targets and hence will begin reducing the workforce as early as the next few days. This particular report was brought forward by The New York Times and it outlined how the job cuts would now be more linked to Amazon’s device organization.

This layoff would also involve a lot of those working for the firm’s devices division like Alexa, which is the e-commerce giant's famous digital assistant.

While the exact firing numbers are yet to be confirmed by the organization officially, it just might be the company’s biggest to ever occur in its history. And if it does fire 10,000 people, it would make the figure about 3% of the total number of corporate workers and less than one percent of the number of employees working globally. Today, that figure represents nearly 1.5 million individuals.

As we mentioned previously, this is definitely not the first organization to introduce such massive layoffs in the world of technology across the US. From Meta and Twitter to Snapchat and Stripe- the list is never-ending. And during times of such economic uncertainty, it makes sense. But the biggest shocker came from Twitter whose workforce has gone down by 50%.

On most occasions, the festive season usually marks a period of stability for the e-commerce giant. But this time around, the firm appears to have put its hiring on hold, thanks to the current situation of the economy.

Since the past two years, we’ve seen the firm increase its workforce by more than double. And that is what led to a huge expansion in terms of the e-commerce business where the pandemic was soaring to new highs. But it did not last long.

The period of inflation and economic instability forced Amazon to endure slow growth, which is the poorest it has been in the past 20 years. And that is the same reason we saw Meta replan and refocus the firm’s hardware business.

Amazon has managed to sell off so many Alexa-enabled products in the past few years and one can only imagine how things would play out with its division being reduced to a bare minimum, thanks to the growing economic crisis that the company is facing.

Amazon says it has always envisioned such products to be a part of its Amazon universe. This is where the company likes to spend in more ways than one. Moreover, when you have high inflation rates and slower economic growth conditions at play, it can become a little difficult to handle for obvious reasons.

For now, the world’s tech experts and financial analysts feel the current energy crisis is what has led to such massive layoffs in the world of tech.

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