Amazon Lays Off Nearly 700 Corporate Employees in New York City

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Amazon Lays Off Nearly 700 Corporate Employees in New York
A photo shows a package for dispatch in a redistribution centre of US online retail giant Amazon in Horn-Bad Meinberg, western Germany, on December 9, 2024. INA FASSBENDER/AFP via Getty Images/Getty Images

Amazon has confirmed it is cutting nearly 700 corporate jobs across its New York City offices as part of a larger company-wide restructuring.

The move is part of a sweeping plan that will see roughly 14,000 corporate positions eliminated worldwide as the e-commerce giant looks to streamline operations and reduce costs.

According to filings with the New York State Department of Labor, 660 employees will lose their jobs across nine office locations in Manhattan.

The largest number of cuts will occur at Amazon's Manhattan West office and its New York Tech Hub inside the former Lord & Taylor building on Fifth Avenue.

"All employees whose roles were eliminated (including in New York) were notified that day," Amazon said in a statement, referring to October 28, the day the layoffs began, USA Today reported.

The company emphasized that the decision is part of its ongoing efforts to become "leaner" and more efficient in serving customers and supporting long-term growth.

Beth Galetti, Amazon's senior vice president of People Experience and Technology, explained the reasoning in a memo to staff.

"We're convinced that we need to be organized more leanly, with fewer layers and more ownership, to move as quickly as possible for our customers and business," she said.

Amazon Offers Severance and Support

Amazon said affected employees will receive a 90-day notification period, severance pay, and a lump sum to cover healthcare costs.

The company also promised free skills training and career support to help employees transition into new roles.

The layoffs, first reported by Crain's New York, come as Amazon continues to evaluate its corporate structure under CEO Andy Jassy.

Since taking over from founder Jeff Bezos in 2021, Jassy has led several major rounds of cuts that have affected tens of thousands of employees across various departments, including human resources, cloud services, and advertising.

The New York layoffs represent a significant hit to Amazon's corporate presence in the city, but the company said none of its nine affected offices are expected to close. Warehouse and delivery employees were not impacted by the cuts.

Analysts say the decision reflects a broader trend among large tech companies, which have trimmed headcounts over the past year to adapt to changing market conditions and invest more heavily in artificial intelligence.

Despite the layoffs, Amazon remains one of New York's largest private employers, with thousands of workers in its Manhattan offices and logistics facilities across the state.

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