Amazon (NASDAQ:AMZN) has started to inform its corporate employees about layoffs, which are expected to reduce the company’s total workforce by about 3%, or about 10,000 employees. A report by The Wall Street Journal, citing people familiar with the matter, said that these cuts will not impact the staff working in the company’s warehouses.
In light of the current challenging economic environment, Amazon is said to have restructured some of its divisions, including its retail, devices, and human resources divisions, as a result of which some of the existing roles have become unnecessary.
Notably, the company is paying severance to employees who fail to find another role internally, while two months’ pay is being given to the employees who were eliminated. The tech giant has even offered voluntary buyout offers to some of its staff.
Is Amazon Stock a Good Buy?
At TipRanks, AMZN stock has a Strong Buy consensus rating based on 33 Buys and one Hold. The average Amazon stock price target of $140.36 implies 44.52% upside potential from the current level.
