Amazon has clarified the situation after confirming another round of job cuts, saying that it is not planning to create a pattern where employees face new layoffs every few months. The clarification comes as the company prepares to eliminate around 16,000 roles globally, a move that has once again highlighted how the tech giant is transforming its workforce. In a note shared internally and publicly, Amazon acknowledged that the decision will be difficult for many employees. The company said the changes are part of a longer effort launched last year to simplify the way teams work, reduce layers of management and cut internal processes that slow down decision-making. While many teams completed this restructuring exercise in October, others completed it more recently, which is why the latest round of cuts is happening now.

Amazon reveals laid-off employees will receive severance pay, clarifies its future layoff plans

Amazon said it is taking steps to support employees whose roles are being affected. In the US, most affected workers will have up to 90 days to apply for other roles within the company. Deadlines will vary in other countries depending on local laws. Employees who do not find a new role, or decide not to seek a new role, will receive severance pay, health benefits where applicable, and assistance in finding employment outside the company.

Also, Amazon stressed that it is not closing the doors to recruitment completely. The company said it will continue to invest and recruit in areas that are important to its long-term plans, suggesting that while some teams are shrinking, others may still be growing. Amazon said its business is still in its early stages, with plenty of scope for further expansion.

One concern that Amazon addressed directly was whether this was the beginning of regular, mass layoffs. The company said that this is not so. The company said, “Some of you may ask if this is the beginning of a new rhythm – where we announce sweeping cuts every few months. This is not our plan.”

However, Amazon has not completely ruled out the possibility of cutting jobs in the future. Beth Galetti, senior vice president of people experience and technology, said teams will continue to review how they work and make changes as needed.

“As we always do, each team will continue to evaluate the ownership, pace and ability to innovate for customers and make appropriate adjustments,” he wrote. “This has never been more important in today’s world that is changing so rapidly.”

Interestingly, there has been little public reaction from employees so far. Unlike previous rounds of layoffs, there have been multiple LinkedIn posts by Amazon employees announcing their exit. This suggests that the company is notifying employees in phases and the official layoff email has not yet reached everyone affected.

Report shows Amazon is profitable but still laying off thousands of workers

The timing of the announcement is also notable. Amazon is set to report its financial results for the holiday quarter next week, and expectations remain strong on Wall Street. Analysts expect the company’s sales to exceed $211 billion during the period, while profits exceeded $21 billion. According to a NYT report, last quarter Amazon generated revenues of $180 billion and profits of more than $21 billion.

This isn’t the first time Amazon has cut jobs while releasing strong figures. The company eliminated about 30,000 roles between late 2022 and early 2023 as it moved to control costs following a pandemic-driven hiring surge. The October layoffs were spread across multiple roles and locations, with software engineers most affected. Thousands of positions were cut in states like Washington and California.

Last year, CEO Andy Jassy told employees that advances in artificial intelligence would eventually allow Amazon to operate with fewer corporate employees. Later, he clarified to investors that the recent job cuts were more about removing unnecessary layers and improving efficiency than AI or short-term financial pressure. Nevertheless, cost reduction goals played a role in deciding where cuts would occur.

As of the third quarter, Amazon employed more than 1.57 million people, the majority of whom work in warehouses and operations. These hourly roles have been largely untouched by the latest cuts, although the company has previously said it plans to use more automation and robotics in the future.

For now, Amazon is trying to balance two messages: reassuring employees that continued layoffs are not planned, while also making clear that the company will continue to adjust its workforce as it sees fit.