News of Layoffs Continues into 2023

Layoffs are reportedly set to continue into the new year. The CEO of Amazon, Andy Jassy, acknowledged the cut in a letter to staff on Thursday. 

“Our annual planning process extends into the new year, which means there will be more role reductions as leaders continue to make adjustments,” he wrote. “Those decisions will be shared with impacted employees and organizations early in 2023.”

On Wednesday, the company confirmed that layoffs had begun after rumors started swirling.  

It is unclear how many other roles will be impacted by layoffs this year, but Jassy claims, “each leader will communicate to their respective teams when we have the details nailed down.”

CNN gave insight into why so many companies have laid off employees recently. “Amazon (AMZN) and other tech firms significantly ramped up hiring over the past couple of years as the pandemic shifted consumers’ habits toward e-commerce. Now, many of these seemingly untouchable tech companies are experiencing whiplash and laying off thousands of workers as people return to pre-pandemic habits and macroeconomic conditions deteriorate.” 

Amazon is not the only company starting the year off with a new round of layoffs. According to Yahoo Finance, “Salesforce will cut 10% of its workforce this year and Vimeo cut 11% of employees in the second wave of reductions.