Amazon has now planned to fire thousands of employees and implement cost-cutting measures due to its recent lack of profitability according to the sources.
As per a New York Times report, the corporation may dismiss up to 10,000 workers starting this week. If the total number of layoffs stays around 10,000, then it would be the biggest layoff in the history of Amazon. It would only make up less than 1% of the company's more than 1.6 million global employees.
According to the NYT article, employment layoffs would be concentrated in Amazon's devices unit, which includes Alexa the voice assistant, and its retail and human resources divisions.
According to the Wall Street Journal, Amazon has advised its staff in some underperforming units to search for new positions within the company following a months-long evaluation.
According to the article, Amazon is closely examining its Alexa business and is currently debating whether it should concentrate on attempting to add new features to the voice assistant, which is already present on a number of Amazon gadgets.
The study was released just a few weeks after the largest online retailer issued a warning about a slowdown in growth for the crucial holiday season, which is traditionally when it sees the most sales. According to Amazon, this is a result of individuals and businesses having less money to spend as a result of price increases. The shares of Amazon, have decreased in value by nearly 40% so far this year
Last week, Twitter cut roughly 50% of its workforce following its sale to Elon Musk. Facebook's parent company Meta also fired 11,000 employees.