Amazon Reduces Middle Management, Cuts Jobs Amid Restructuring

Amazon is undergoing a major restructuring aimed at reducing middle management and streamlining operations, a move announced by CEO Andy Jassy. This strategy includes increasing the number of direct reports for managers from six to at least eight, which is expected to cut costs and enhance decision-making speed. As part of this initiative, Amazon is laying off employees in its communications and sustainability departments while offering them financial support and potential reemployment in lower roles. The company aims to reduce its managerial workforce by approximately 13,834 positions, aligning with broader trends in corporate America. Despite the layoffs, Amazon remains committed to its sustainability goals, including achieving carbon neutrality by 2040. The restructuring follows a significant workforce expansion during the pandemic, which led to increased bureaucracy and slower decision-making.