Amazon to lay off over 1,000 employees in India
What's the story
Amazon India is set to lay off between 900 and 1,100 employees as part of a global restructuring plan. The move comes as the e-commerce giant plans to cut around 30,000 corporate roles worldwide this week. This is Amazon's largest workforce reduction since it cut about 27,000 jobs in 2022.
Impact areas
Layoffs to impact various divisions
The planned job cuts will affect nearly 10% of Amazon's global workforce of 350,000 corporate employees. The layoffs will impact several divisions including human resources (PXT), operations, devices, services, and Amazon Web Services (AWS). Managers in these teams were briefed earlier this week to prepare for notifying affected employees via email about the impending layoffs.
Strategic focus
Amazon's continued investment in India
Despite the impending layoffs, Amazon remains committed to its operations in India. In June, Amazon India announced a ₹2,000 crore investment this year to expand and strengthen its logistics and fulfillment infrastructure for faster deliveries. The firm is also focusing on quick commerce through its Amazon Now vertical, which requires a lot of capital but promises strong growth potential.
Industry trend
Tech sector layoffs this year
The global layoffs at Amazon come amid a larger trend of downsizing in the tech industry as companies shift toward AI-led efficiency and automation. More than 200 tech companies have laid off nearly 98,000 employees this year, according to Layoffs.fyi data. Major players like Microsoft (15,000 roles), Meta (600 positions in AI division), Google (100 roles in its cloud design team), and Intel (22,000 jobs) have also made significant cuts.