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Statista data shows that in 2022 Amazon’s revenues were above $513.5 billion.
Layoffs at Amazon represent 2 percent of its total employees.
Amazon has 1.5 million workers.
Amazon to lay off another 9,000 workersas confirmed by CEO Andy Jassy, this new round of layoffs adds to the 18,000 employees who were cut at the beginning of the year.
The company’s decision to carry out a new round of layoffs seeks optimize costs in the face of uncertainty that exists in the near futureThis was stated by Andy Jassy through a statement. This wave of layoffs is added to the cuts in Facebook’s Meta, a company that announced 10,000 additional layoffs to the 11,000 already anticipated in November last year.
“Some may wonder why we didn’t include these job reductions in the announcements from a couple of months ago. The short answer is that not all teams finished their analysis by the end of the fall,” Andy Jassy noted.
Although the recently announced cut at Amazon already casts a historical figureamounting to 27 thousand cuts in total, surpassing those of Meta.
Wave of layoffs at tech companies
Most of these companies increased their hiring in the middle of the pandemic, when the change in consumer habits boosted sales. But with the end of the pandemic, the demand for products and services began to decline.
Amazon became strong with the coronavirus, in 2020 it achieved double the profits than in 2019, while only in the first quarter of 2021 tripled them. The pandemic was undoubtedly the one that made the company founded by Jeff Bezos grow, because thanks to the quarantine, the closure of shops and the capacity limits, Amazon skyrocketed its sales.
In fact, data from the company itself revealed that since 2004 his income has gone upTherefore, in 2021 they were above 469 billion dollars.
For his part, Apple is the only big technology company that has not announced massive layoffs. Other multinationals that have also cut staff are Alphabet and Microsoft.
Data from Layoffs.fyi shows that, overall, The cuts announced in this technological sector add up to 300,000 layoffs between 2022 and so far in 2023.
The areas that will be affected by this new cut in Amazon will be:
- Amazon Web Services (AWS)
- Technology Solutions and People Experience (PXT)
- Advertising Department
- Twitch Streaming Channel
Amazon is the second company with the largest number of employees in the United States. While in 2021, in Mexico, 56 percent of consumers bought at least one product on Amazon.
A report from Sherlock Communications revealed that 82 percent of Mexicans are subscribed to services of streaming, since 1 in 5 Mexicans subscribed to at least 4 different platforms. For example, a Mexican spends 1668 pesos annually just for Netflix and paying the basic subscription.
While Statista data indicates that in the country 89 percent use Netflix, 82 percent YouTube and 45 percent Amazon Prime. In addition, according to data from the Statista Global Consumer Survey, in several countries Amazon leads book sales.
Undoubtedly, eCommerce has become a habit in this constant innovation, adapting to the new wave of consumers and generations.