Amazon is launching another round of large-scale layoffs. It is the second mass layoff in 16 months and this time it targets about 16,000 full-time employees, CNBC reported on Tuesday.
The company said the move is aimed at strengthening an anti-bureaucracy stance and focusing investment in AI.
Amazon is proceeding with additional cuts after laying off 14,000 people in October last year. At the time, Amazon stressed slimming its organisation and signalled that there would be further job cuts.
Beth Galetti (베스 갈레티), Amazon's senior vice president of human resources, stressed that the layoffs are not a sign of regular restructuring in the future. "We are not trying to create a new cycle of layoffs," she said. "But each team will continuously evaluate innovation for customers and adjust as needed," she said.
Amazon has recently tried several changes to spread an anti-bureaucracy culture within the organisation. Executives are communicating directly with team members and simplifying the organisation by reducing middle management layers. It is also known to be pushing cost cuts to expand AI investment.
Some employees at Amazon's cloud division recently learned of an organisational overhaul through an internal email, which appears to have been sent by mistake before an official announcement.