Amazon Announces Largest Mass Layoffs in History After Major AWS Outage
In a stunning move, Amazon has announced the biggest mass firing in its 28-year history, eliminating over 18,000 jobs—mostly in corporate and tech roles. The decision comes just days after a major AWS outage disrupted critical online services, raising concerns about the company’s stability.
AWS Outage Fallout: Did It Trigger Amazon Layoffs?
Last week, Amazon Web Services (AWS), which powers giants like Netflix and Disney+, suffered a widespread outage, crippling businesses globally. While Amazon hasn’t directly tied the layoffs to this incident, experts speculate that cost-cutting and operational struggles may be key factors.
Amazon’s stock has plummeted 50% in the past year amid slowing revenue growth and fierce competition.
Why Is Amazon Firing 18,000 Employees?
CEO Andy Jassy blamed the layoffs on an “uncertain economy” and pandemic-era overhiring. Amazon added 800,000+ employees between 2020 and 2022 but is now scaling back, targeting divisions like:
- Retail & HR teams
- Alexa & hardware projects
- Experimental initiatives
Affected employees in the U.S., India, and Europe will receive severance packages.
India Hit Hard: Amazon Layoffs Strike Key Market
India, a critical growth hub for Amazon, faces significant job losses, particularly in Bengaluru, Hyderabad, and Delhi. This compounds recent layoffs from Indian startups like Byju’s and Ola, worsening tech job market concerns.
Employee & Union Backlash: “Profits Over People”
The Amazon Labor Union (ALU) condemned the cuts as “unjust and avoidable.” Employees shared stories of abrupt terminations via email, sparking outrage on LinkedIn and Twitter.
Will Amazon’s Layoffs Hurt Its Future?
With Meta, Twitter, and Microsoft also downsizing, Amazon’s cuts reflect broader tech industry turmoil. Risks include:
- Damaged employer reputation
- Eroded trust in AWS reliability
- Tougher competition from Walmart & Alibaba
What’s Next for Amazon?
Amazon claims these layoffs will refocus efforts on core businesses:
✔ E-commerce
✔ AWS cloud services
✔ Advertising
But with economic uncertainty looming, 2023 could be Amazon’s toughest year yet.
Stay updated with NextMinuteNews for the latest developments.
