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E-commerce company Amazon is going to fire its 30 thousand corporate employees. There are a total of 3.5 lakh corporate employees in the company, so this number is around 10%. These layoffs in the company are taking place in departments like People Experience and Technology (HR), Device and Service and Operation.
This step has been taken to improve operations and balance the overhiring that occurred during the peak demand of the pandemic. A total of 15.50 lakh employees work in Amazon.
Managers of the affected teams were given training on Monday so they could be prepared to inform the fired employees. Employees will begin receiving email notifications Tuesday morning.
CEO had created an anonymous complaint line
CEO Andy Jassy had said that the increasing use of AI tools is likely to reduce more jobs. Especially in those tasks where repetition and routine work is involved.
Earlier this year, he created an anonymous complaint line to note down people who are not working, which received nearly 1,500 responses.
Amazon’s plan is to build such warehouses where fewer people work.
Estimated savings of Rs 1 lakh crore by 2027
Internal documents reveal that these robots will save up to 30 cents (about Rs 2.5) per item picked, packed and delivered. A total savings of $ 12.6 billion (about Rs 1 lakh crore) can be achieved between 2025 and 2027.
Plan to automate 75% of operations
Amazon’s plan is to build such warehouses where fewer people work. These warehouses will be designed for superfast delivery. The company’s robotics team’s final plan is to automate 75% of operations.
- Amazon launched its most advanced warehouse in Shreveport last year. Human interference has reduced a lot in this. With 1,000 robots running, the facility reduced its workforce by 25% last year compared to a non-automated setup.
- Amazon plans to copy the Shreveport design in about 40 facilities by the end of 2027. It is starting with a recently opened large warehouse in Virginia. Amazon has also started renovating old facilities.
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