HomeBusinessAmazon has laid off more than a hundred customer service managers in...

Amazon has laid off more than a hundred customer service managers in CEO Andy Jassy’s latest job cuts

Amazon on Wednesday cut layers of middle management in some of its customer service divisions as part of an organizational restructuring. Fortune has learned.

The cuts affected more than 100 customer service managers working in middle management positions at Level 5 and Level 6, both in call centers and virtually. The affected employees mainly worked in the US or India. Some managers first realized something was wrong when their computer systems suddenly went down during their workday, the source said.

“There has been more and more work, 12 to 16 hour days, maximum stress that can be taken away without thought or warning,” said one of those affected by the cuts. Fortune.

An Amazon spokesperson said the restructuring was partly intended to reduce the distance between customers and customer service leaders. The layoffs affected less than 1 percent of Amazon’s global customer service workforce, the company said, but it was unclear what percentage of the customer service division’s management team was affected.

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“As part of a shift in the way our Worldwide Customer Service organization is structured, we have identified a relatively small number of roles that are no longer needed,” Amazon spokesperson Montana MacLachlan said in a statement. “We have not made these decisions lightly. and we are committed to supporting employees whose roles will be impacted during their transition.”

Affected U.S. employees will receive wages and benefits for 60 days, plus severance, the company said.

The layoffs come two weeks after Amazon posted strong first-quarter financial results with more than $143 billion in revenue and $10 billion in profits. Amazon, under CEO Andy Jassy, ​​has finally reached an inflection point where it can both invest heavily in long-term investments and generative AI while making huge profits. The company has reached this point in part because of Jassy’s willingness to oversee the largest corporate layoffs in Amazon’s history in recent years and demand that its leaders continually cut excess costs wherever possible. Amazon divisions like AWS, Prime Video and Twitch have all laid off hundreds of employees this year.

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Amazon has also worked this year to shift major logistics costs from its own books to those of third-party sellers in the form of new, controversial seller fees.

“[W]We don’t believe we’re at the end of what we can do when it comes to improving our cost structure on the store side,” Jassy told Wall Street analysts on the earnings call last month.

News of the customer service layoffs first surfaced in a LinkedIn post written by former Amazon CEO Tony Carr.

Are you an Amazon manager affected by these layoffs or are you an Amazon employee with thoughts on this topic or a tip to share? Contact Jason Del Rey at jason.delrey@fortune.com, jasondelrey@protonmail.comor via the secure messaging app Signal at 917-655-4267. You can also send him a message on LinkedIn or at @delrey on X.

This story originally appeared on Fortune.com

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