Amazon gets rid of around 5-8% of their staff every year through unregretted attrition, where they’ll fire “underperforming” people, with maybe 10-15% of people being threatened with underperformance "
Alongside this, to cut a long story short Amazon grew huge during COVID, and despite tens of thousands of layoffs the company has been trying to shrink everywhere possible, cutting fat wherever they can. IMO, leadership made lots of really stupid decisions, and the CEO has set Amazon on a course where irreparable damage has been made.
I don’t think this is going to be just cutting fat though. They’re going to have their desperate and least-talented employees working in the office while their most talented employees will end up finding remote employment elsewhere. That’s how RTO always goes.
Oh, 1000%. I could write a book on how monumentally stupid the whole process is (and most Amazonians agree), but the fundamental points are:
The people that stay are of a certain mindset, where you don’t pick up “hard” tasks, and you are quick to establish blame/ownership elsewhere.
Data is king, but you can lie a lot with data.
Employees are customers also, and when you piss off employees you piss off customers and their families.
You spend a huge sum of money on hiring and training talent, only to send them to your competitors.
You spend money to give severance to active employees. That is still, to be, the dumbest thing ever. SO many people don’t resign, they just down tools or do a bad job to get the extra pay. PIP is called Paid Interview Prep for a reason.
Amazon’s Focus/Pivot has such a bad reputation that being fired used to mean that other big companies would happily tell you “if you have any trouble at Amazon, let me know and we’ll start an interview loop”.
Most fundamentally of all…very few companies do this. It died with Jack Welch/GM and Gates/Microsoft, after they saw the same downfalls. Amazon is yet to learn their lesson, and it shows in how poorly the “Amazon Management School” under Bezos are performing. The other big tech companies also now do this, although less severe, and surprise surprise, they’re all going downhill - making awful decisions, delivering nothing of value, and ignoring customers over leadership.
It’s a great strategy to have your employees backstabbing each other instead of working together too. “Oh, Jim is struggling? Good, one more person below me in the ranks”.
True, paired with Amazon moving many roles out of North America and into India.
With that said, a lot of people (like myself) joined Amazon when remote working was encouraged, only to then be told to go in 3 days a week. We lost loads of really great engineers that didn’t have opportunities in their local area. We’ll likely lose a LOT of people again, myself included, unless opportunities open elsewhere where I can transfer to a new area. Amazon are tricky, though, and they’ll preempt this by reducing transfers or laying people off soon to ensure that those that cannot adhere to 5 days a week are considered to have “resigned voluntarily”.
That’s all to say that a lot of bad faith on Amazon’s part will likely scare people away from joining. After the NYT article dropped almost a decade ago, Amazon got around it being hard to hire by having great transfer opportunities and high salaries. Neither of those exist now, and with all the anti-worker rhetoric and lies about internal AI performance “saving x hours on upgrades” I don’t see Amazon ever getting top talent again. Amazon will slip into boomer tech soon enough.
Just to give an outsider perspective to anyone reading this. I live in the Seattle Metro, have worked for Microsoft, and now work at a unicorn. I have a list of skill and experience that any ops department would drool over. Amazon is is one of the companies I won’t even apply to unless I’m desperate for a job (and even then I’m not planning to stay).
Non-Amazon related answer: every company does this at some point, usually for cost cutting. They want people to quit vs letting people go. They basically introduce less-than-ideal working conditions knowing some people will leave because of it. I haven’t looked at the job market personally but friends have said it’s not great so basically people have to put up with it or take their chances not finding another job for a while.
It also depends on where you live. Where I live, if you are working a fully remote job, and your employment contract doesn’t specify that you need to work in the office, if they try to force you back into the office then you can quit and go on employment insurance since it would be considered a constructive dismissal.
Why do they want to get rid of people?
Amazon gets rid of around 5-8% of their staff every year through unregretted attrition, where they’ll fire “underperforming” people, with maybe 10-15% of people being threatened with underperformance "
Alongside this, to cut a long story short Amazon grew huge during COVID, and despite tens of thousands of layoffs the company has been trying to shrink everywhere possible, cutting fat wherever they can. IMO, leadership made lots of really stupid decisions, and the CEO has set Amazon on a course where irreparable damage has been made.
I don’t think this is going to be just cutting fat though. They’re going to have their desperate and least-talented employees working in the office while their most talented employees will end up finding remote employment elsewhere. That’s how RTO always goes.
Oh, 1000%. I could write a book on how monumentally stupid the whole process is (and most Amazonians agree), but the fundamental points are:
Most fundamentally of all…very few companies do this. It died with Jack Welch/GM and Gates/Microsoft, after they saw the same downfalls. Amazon is yet to learn their lesson, and it shows in how poorly the “Amazon Management School” under Bezos are performing. The other big tech companies also now do this, although less severe, and surprise surprise, they’re all going downhill - making awful decisions, delivering nothing of value, and ignoring customers over leadership.
I’m aware of this policy but I didn’t realise the number was that large.
It’s a great strategy to have your employees backstabbing each other instead of working together too. “Oh, Jim is struggling? Good, one more person below me in the ranks”.
It feels the exact same way in the USPS.
I’m assuming new people are less likely to complain about no raises and bad conditions.
True, paired with Amazon moving many roles out of North America and into India.
With that said, a lot of people (like myself) joined Amazon when remote working was encouraged, only to then be told to go in 3 days a week. We lost loads of really great engineers that didn’t have opportunities in their local area. We’ll likely lose a LOT of people again, myself included, unless opportunities open elsewhere where I can transfer to a new area. Amazon are tricky, though, and they’ll preempt this by reducing transfers or laying people off soon to ensure that those that cannot adhere to 5 days a week are considered to have “resigned voluntarily”.
That’s all to say that a lot of bad faith on Amazon’s part will likely scare people away from joining. After the NYT article dropped almost a decade ago, Amazon got around it being hard to hire by having great transfer opportunities and high salaries. Neither of those exist now, and with all the anti-worker rhetoric and lies about internal AI performance “saving x hours on upgrades” I don’t see Amazon ever getting top talent again. Amazon will slip into boomer tech soon enough.
Just to give an outsider perspective to anyone reading this. I live in the Seattle Metro, have worked for Microsoft, and now work at a unicorn. I have a list of skill and experience that any ops department would drool over. Amazon is is one of the companies I won’t even apply to unless I’m desperate for a job (and even then I’m not planning to stay).
And I know I’m not the only one.
This really happening? What sort of roles are they moving?
Non-Amazon related answer: every company does this at some point, usually for cost cutting. They want people to quit vs letting people go. They basically introduce less-than-ideal working conditions knowing some people will leave because of it. I haven’t looked at the job market personally but friends have said it’s not great so basically people have to put up with it or take their chances not finding another job for a while.
It also depends on where you live. Where I live, if you are working a fully remote job, and your employment contract doesn’t specify that you need to work in the office, if they try to force you back into the office then you can quit and go on employment insurance since it would be considered a constructive dismissal.
This quarter’s top line might not be looking great, so gotta improve the bottom line to impress the Wall Street analysts.
Yeah, that’s a constant. I was wondering if there’s more to it. :D
Rampant over hiring.