Amazon layoffs will continue into 2023

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Recently, we got the news that Amazon was in the process of laying off around 10,000 employees. Now, it appears that the situation is far from over. According to a letter sent to Amazon employees, the layoffs will continue into early 2023.

Amazon is experiencing some financial issues due to a few overarching factors. During the height of the Coronavirus pandemic, online shopping exploded. This caused the company to expand its global workforce from 798,000 in 2019 to over 1.6 million in December 2021.

However, now that the Coronavirus pandemic is cooling, online shopping is seeing a dip. This means that the company does not need quite that many employees. Also, we can’t forget the downturn in the global economy.


Because of these factors, the company CEO Andy Jassy has been working on several cost-cutting methods. These methods just so happened to include people-cutting as well.

The Amazon layoffs will continue into early 2023

Cutting 10,000 people is nothing to sneeze at. Even though this figure makes for less than 1% of Amazon’s global workforce, that’s still a lot of people. The current round of layoffs has begun this week, and it seems that it’s affecting several departments across Amazon. Some of these departments include the Amazon Alexa and Amazon Luna departments.

However, that is just the tip of the iceberg. In a letter to the current Amazon employees from Mr. Jassyt himself, we can see that things are only going to continue. The letter states that the layoffs will continue into early next year. So, we’re most likely going to see many more layoffs in addition to the 10,000.


How many people will be affected? That remains to be known. At this point, even the company itself doesn’t quite know how many people will be sent packing. “We haven’t concluded yet exactly how many other roles will be impacted (we know that there will be reductions in our Stores and PXT organizations)…”

Folks affected by the job cuts will face one of two possibilities. Firstly, Amazon is working to relocate certain employees to other departments. These people will be moved to higher-priority departments.

Other people will not be quite as lucky. They will be sent home but not without a parting gift. Amazon will give them severance packages. This will include severance pay, transitional health insurance benefits, and assistance with locating more work.


Amazon, like other companies, is struggling to weather this storm (however it’s not as bad off as Twitter with hurricane Elon), so, there are definitely some sacrifices that need to be made. After the dust settles, we don’t know how many people would have been let go from Amazon, but we don’t expect it to be a small amount.