Major layoffs in the technology sector continued Monday as Amazons (AMZN) announced plans to slash 9,000 jobs. AMZN stock dipped on the news.
That brings the total number of jobs cut at the e-commerce giant to 27,000. Further, it recently announced plans to cut 18,000 positions.
“Given the uncertain economy in which we reside, and the uncertainty that exists in the near future, we have chosen to be more streamlined in our costs and head count,” Amazon Chief Executive Andy Jassy said in a written notice to employees.
AMZN stock fell 1.3% and closed at 97.71 on the stock market today.
More Businesses Needed Analysis
“Some may ask why we didn’t announce these role reductions with the ones we announced a few months ago,” Jassy said in the statement.
He said not all businesses finished their analyzes in the late fall.
“Rather than rushing through these assessments without the appropriate diligence, we chose to share these decisions as we’ve made them so people had the information as soon as possible,” Jassy went on to say.
He then suggested more layoffs are possible, adding impacted teams have yet to make final decisions on precisely which roles will be impacted.
“The latest assessment is due by mid-to late April. Any further announcements on head count reductions will be announced following the conclusion of the latest business review,” Jassy said.
AMZN Stock: Cuts Where Head Count Added
The cuts mainly focus on Amazon Web Services, advertising, Twitch, and People Experience and Technology Solutions divisions, Amazon said.
Jassy said that many of those business segments “added a significant amount of head count” in recent years as the overall economy expanded.
AMZN stock is up roughly 13% so far this year.
Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.
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