Following the cycle of job cuts, Amazon has announced more layoffs to restructure their workforce. Reports claimed that the tech giant is rolling out fresh layoffs in its Selling Partner Services division after eliminating 30,000 positions across rounds in October last year and this January along with smaller job cuts in the robotics decision. According to the company spokesperson, the latest layoff will affect a small number of employees. However, the company did not disclose the exact figure of slashed positions.
What Amazon Said on Latest Job Cuts?
According to the company spokesperson, the current job layoffs will be held in its Selling Partner Services division. While confirming the layoffs, the spokesperson said the company is regularly reviewing their organization to ensure the goals are met. Meanwhile, he assured the affected employees will receive transitional healthcare, a separation payment and outsourced job placement services, the company spokesperson confirmed to Business Insider.
Why is Amazon Continuing Job Cuts?
Analysts believe that CEO Andy Jassy is strategically shifting Amazon’s focus toward Artificial Intelligence while ensuring the company’s operational efficiency is not compromised. Reports indicate that the e-commerce giant is expanding its footprint across multiple businesses. The Amazon CEO has also reassured investors that they should not worry about the company’s heavy spending on AI, asserting that these investments will ultimately drive greater growth and long-term efficiency. Furthermore, the company has openly acknowledged that recent employee layoffs are directly propositional to operational patterns brought by AI and automation.
Amazon Plans to Invest $200 billion in Capital Expenditure, AI
Earlier this year, Amazon announced a massive $200 billion capital expenditure plan, with a primary focus on AI infrastructure like data centers. Amazon’s CEO Andy Jassy described artificial intelligence as a critical turning point in technological history. “We believe that AI is the biggest technology transformation in our lifetimes. It’s going to reinvent every single customer experience we know, and altogether new ones we never imagined,” Jassy said, as quoted by The Times of India.
Is Amazon Still Hiring?
Despite the ongoing eliminations, Amazon has not freezed hiring process. The e-commerce giant is still hiring engineers in different divisions. In addition, the company’s demand for technical talent has not stopped, Amazon requires software development interns and early career engineers for operational support roles. The company is looking for young talent who would be adaptable and willing to use the AI for coding workflows.
