Status: 14.11.2022 8:50 p.m
First Twitter and Facebook parent Meta now Amazon: The online giant wants to cut around 10,000 jobs, US media reports. The device division in particular is said to be affected by the cuts.
The job cuts at the big tech companies in the USA are apparently continuing: According to US media reports, the world’s largest online mail order company Amazon is planning its largest job cuts to date in view of the gloomy economic outlook. The group wants to start cutting around 10,000 jobs this week, wrote the New York Times. The newspaper relies on insiders.
The focus of the cuts is the loss-making device division of the widely distributed group, which also includes the voice control “Alexa” and the smart speaker Echo. The New York Times claims that the reduction, the exact extent of which has not yet been determined, corresponds to about three percent of the total workforce.
Amazon imposed hiring freeze
The financial service Bloomberg later reported according to its own sources. According to the Wall Street Journal, “thousands” of jobs are at stake. Amazon initially did not comment. The group recently had around 1.5 million employees worldwide.
The company had already warned investors of a weak final quarter and decided at the beginning of November to stop hiring in view of the increased risks of inflation and recession. Amazon is under pressure to cut costs after a spending offensive amid the pandemic. The stock is down more than 40 percent this year.
Corporations want to cut costs
Before Christmas, for which Amazon often hires reinforcements, the job cuts would be another signal for the sudden end of the job boom in the tech industry. The line of US companies announcing layoffs is getting longer and longer. Some of the big tech companies are currently trying to cut costs and have announced job cuts, such as Facebook parent Meta and Twitter, the short message platform taken over by Tesla boss Elon Musk.