Amazon is set to eliminate 370 positions at its Luxembourg-based European headquarters in the coming weeks. This reduction would represent the biggest staff downsizing the company has ever carried out at this location.
The recent job reductions represent roughly 8.5% of Amazon’s 4,370-strong workforce in Luxembourg. This follows the company’s earlier global announcement in October, in which it revealed plans to eliminate 14,000 positions as part of its strategic restructuring.
The restructuring at Amazon is expected to impact software developers the most as the company looks to push for more usage of AI for coding tasks.
Originally, the company intended to cut 470 roles
As reported by the Luxembourg Times, a social agreement between Amazon and employee representatives was finalized late Friday after two weeks of negotiations. Originally, the company intended to cut 470 roles, but this number was lowered during discussions, in compliance with European Union labor regulations that mandate consultations with staff before implementing layoffs.
A worker at Amazon told Bloomberg that the upcoming job reductions are likely to make it even harder for hundreds of job seekers in Luxembourg to secure positions that match their skills and ambitions.
Even with the staff cuts, Amazon will continue to rank as the fifth-largest employer in the country, which has a population of around 68,000. Nevertheless, the decision is expected to significantly affect the employees directly impacted by the layoffs.
In October, Amazon announced its intention to scale…
In October, Amazon announced its intention to scale back its global workforce to just 14,000 staff members. The move is part of the company’s strategy to streamline operations and increase reliance on advanced technologies to drive long-term growth in a constantly changing business environment. The reduction in Amazon’s Luxembourg team is said to be the largest workforce cut in the country in more than 20 years, with significant repercussions for the local job market.
