As part of its ongoing efforts to streamline operations and control costs, Amazon Games, the gaming division of Amazon, has announced that it will be laying off more than 100 employees from its prime gaming, game growth, and San Diego studio departments.
The decision was made after assessing the company’s current projects against its long-term goals, as stated in a memo by Amazon Games VP Christoph Hartmann to the staff. However, some employees will be reassigned to other projects that align with Amazon’s strategic focus.
Despite the job cuts, Amazon plans to invest in its internal development efforts and content creation. These layoffs are in addition to the previous round of cuts that resulted in more than 18,000 people losing their jobs. It was announced last month that the company would be laying off an additional 9,000 employees to control costs. Amazon has also implemented a hiring freeze for its corporate workforce and discontinued some experimental projects such as a telehealth service and sidewalk delivery robot.
The restructuring is a response to Amazon’s recent financial results, which missed Wall Street expectations. The company is focusing on streamlining operations and investing in growth opportunities to improve its long-term profitability. In spite of several rounds of layoffs, Amazon stills boasts of employing over 1.3 million people making it one of the largest employers globally.
The company has pledged to provide support to the impacted employees, including severance pay, health insurance benefits, outplacement services, and paid time to conduct job searches, and is conducting live meetings with human resources to inform them of the layoffs.
