Amazon halts corporate hiring citing 'uncertain' economy
Amazon said it expects the hiring freeze to last through the end of the year
Amazon implemented a hiring freeze for corporate positions this week, pointing to the "uncertain" economy as the reason behind the move.
In a message to employees on Wednesday, Amazon senior vice president of People Experience and Technology Beth Galetti announced the decision made by CEO Andy Jassy and the leadership team, explaining, "We're facing an unusual macro-economic environment, and want to balance our hiring and investments with being thoughtful about this economy."
The exterior of The Spheres are seen at the Amazon.com Inc. headquarters on May 20, 2021 in Seattle, Washington. Amazon CEO Andy Jassy at the WSJD Live conference in Laguna Beach, California, U.S., October 25, 2016. (Photo by David Ryder/Getty Images | REUTERS/Mike Blake / Reuters Photos)
Galetti noted that the company had already issued hiring pauses in some divisions in recent weeks, and decided to shut down new corporate hiring across the board "with the economy in an uncertain place and in light of how many people we have hired in the last few years."
ELON MUSK PLANNING TO CUT HALF OF TWITTER'S WORKFORCE: REPORT
The retail giant expects to keep the hiring freeze in place for a few months.
The logo of Amazon is pictured inside the company's office in Bengaluru, India, April 20, 2018. (REUTERS/Abhishek N. Chinnappa/File Photo / Reuters Photos)
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| AMZN | AMAZON.COM INC. | 207.89 | +2.15 | +1.05% |
Galetti went on to tell workers in her message that Amazon has faced tough economic conditions in the past, adding that "With fewer people to hire this moment, this should give each team an opportunity to further prioritize what matters most to customers and the business, and to be more productive."
BIG TECH LAYOFFS COULD HURT AMERICANS, BUT THE ‘WORST IS STILL ON THE WAY’: TECH INSIDER
The announcement came two weeks after Amazon founder and former CEO Jeff Bezos warned on Twitter that "the probabilities in this economy tell you batten down the hatches," indicating he agreed with Goldman Sachs CEO David Solomon who had cautioned earlier in the day that there is a "good chance" of a U.S. recession.
Amazon founder and former CEO Jeff Bezos warned weeks ago that the U.S. is likely headed for a recession. (AP Newsroom)
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Amazon's hiring pause is the latest sign of big tech anticipating an economic downturn. Microsoft recently announced layoffs across several divisions, and Meta implemented a hiring freeze of its own in late September.
FOX Business' Megan Henney contributed to this report.
