Amazon Cuts 14,000 Jobs

Amazon (company) CEO Andy Jassy announced that the company's recent layoffs, affecting approximately 14,000 corporate employees, were primarily driven by a desire to reshape Amazon (company)'s internal culture rather than financial reasons or the rise of artificial intelligence. Jassy emphasized the need for Amazon (company) to operate leaner and faster, like a startup, by removing layers of management that had slowed down decision-making during years of rapid expansion. This move is part of Amazon (company)'s ongoing push to raise performance standards, tighten discipline, and cut bureaucracy. Despite the significant job cuts, Amazon (company) reported a 13% year-on-year jump in quarterly revenue to $180 billion and $21 billion in profit, leading to an 11-13% increase in its shares after the earnings release. Beth Galetti, Amazon (company)'s Senior Vice President of People Experience and Technology, confirmed the organizational changes and stated that affected workers would receive 90 days of full pay and benefits. This decision reflects a broader trend among major tech firms like Alphabet Inc. and Microsoft, which are also reducing management layers to improve efficiency.