Amazon Has Laid off More Than 100 Customer Service Managers as Part of CEO Andy Jassy's Latest Job Cuts - Latest Global News

Amazon Has Laid off More Than 100 Customer Service Managers as Part of CEO Andy Jassy’s Latest Job Cuts

Amazon on Wednesday cut layers of middle management in some of its customer service departments as part of an organizational restructuring. Assets have learned.

The cuts affected more than 100 customer service managers working in middle management positions at levels 5 and 6, both in call centers and virtually. The affected employees mainly worked in the USA or India. According to a source, some of the managers first noticed something was wrong when their computer systems suddenly failed during their workday.

“We were adding more and more work, 12-16 hour days, maximum stress that we could get rid of without a thought or warning,” said one of those affected by the cuts Assets.

An Amazon spokesman said the restructuring was aimed, in part, at narrowing the gap between customers and customer service managers. The layoffs affected less than 1 percent of Amazon’s global customer service employees, the company said, but it was unclear what percentage of the customer service department’s management team was affected.

“As part of a change in the structure of our global customer service organization, we have identified a relatively small number of roles that are no longer needed,” Amazon spokesman Montana MacLachlan said in a statement. “We did not make these decisions lightly,” and we are committed to supporting employees whose roles will be impacted during their transition.”

The affected U.S. employees will receive 60 days of pay and benefits plus severance pay, the company said.

The layoffs come two weeks after Amazon reported strong first-quarter financial results with revenue of more than $143 billion and profit of $10 billion. Amazon, under CEO Andy Jassy, ​​has finally reached a tipping point where the company can both invest heavily in long-term bets like generative AI while also making huge profits. The company has reached this point in part because of Jassy’s willingness to oversee the largest corporate layoffs in Amazon’s history in recent years and to require his executives to continually eliminate excess costs wherever possible. Amazon divisions like AWS, Prime Video and Twitch have all cut hundreds of employees this year.

Amazon has also worked this year to shift major logistics costs from its own books to those of third-party sellers in the form of new, controversial seller fees.

“[W]”We don’t believe we’re at the end of what we can do in terms of improving our cost structure on the store side,” Jassy told Wall Street analysts during their conference call last month.

News of the customer service layoffs first surfaced in a LinkedIn post written by a former Amazon general manager named Tony Carr.

Are you an Amazon manager affected by these layoffs or an Amazon employee who has thoughts on this topic or a tip to share? Contact Jason Del Rey at [email protected], [email protected]or via the secure messaging app Signal at 917-655-4267. You can also send him a message is LinkedIn or at @delrey At X.

This story was originally published on Fortune.com

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