Amazon Layoff Update: The furore of layoffs in Amazon continues till now. Now its fire has fallen on the employees of American fresh grocery stores. Amazon is making changes to its business structure in the US, under which some employees are being fired. Know why the company took this decision and what is next for those who will be laid off
Amazon Layoff News: The furore of layoffs in Amazon continues till now. Now its fire has fallen on the employees of American fresh grocery stores. Amazon is making changes to its business structure in the US, under which some employees are being fired. The company confirmed on Thursday that it is eliminating zone lead roles from grocery stores, reports AP news agency. This is a lower-level management position whose job is to oversee the work of associates and handle customer issues, among other things.
However, the company did not disclose how many employees would be laid off. Earlier, The Washington Post revealed on Wednesday that hundreds of employees could lose their jobs. Employees who will be laid off will be helped by Amazon to find new work within the company and those who wish to leave will be offered a severance package.
What is Amazon’s plan
Amazon spokeswoman Jessica Martin says that just like other retailers who sell retail goods, Amazon periodically evaluates the needs of its stores and then can increase the efficiency of employees and get better value to the customer. Takes appropriate decisions for this. With this in mind, the company has decided to develop an in-store staffing and operations model.
Amazon operates 44 Fresh grocery stores in the US, most of which are located in California, Illinois, Virginia and Washington. In addition, it also operates over 20 cashless convenience stores in the US under the Amazon Go brand. Apart from this, it also owns Whole Foods, which was bought by Amazon in 2017 for $ 13.7 billion.
layoffs in an effort to cut costs
Amid economic challenges, Amazon is trying to reduce costs across its businesses, including groceries. This year, the company had planned to close some Amazon Fresh and Go stores. In April, Whole Foods fired hundreds of employees as part of a restructuring plan. The company’s CEO Andy Jassy has indicated that the grocery business is a huge growth opportunity for the company but added that it needs to find a mass grocery format that works.