Amazon, Salesforce jettison jobs in latest tech worker purge
Washington (AP): E-commerce giant Amazon and business software maker Salesforce are the latest US technology companies to announce major job cuts as they prune payrolls that rapidly expanded during the pandemic lockdown.
Amazon said Wednesday that it will be cutting about 18,000 positions. It's the largest set of layoffs in the Seattle-based company's history, although just a fraction of its 1.5 million global workforce.
"Amazon has weathered uncertain and difficult economies in the past, and we will continue to do so," CEO Andy Jassy said in a note to employees that the company made public. "These changes will help us pursue our long-term opportunities with a stronger cost structure."
He said the layoffs will mostly impact the company's brick-and-mortar stores, which include Amazon Fresh and Amazon Go, and its PXT organizations, which handle human resources and other functions.
In November, Jassy told staff that layoffs were coming due to the economic landscape and the company's rapid hiring in the last several years. Wednesday's announcement included earlier job cuts that had not been numbered. The company had also offered voluntary buyouts and has been cutting costs in other areas of its sprawling business.
Salesforce, meanwhile, said it is laying off about 8,000 employees, or 10% of its workforce.
The cuts announced Wednesday are by far the largest in the 23-year history of a San Francisco company founded by former Oracle executive Marc Benioff. Benioff pioneered the method of leasing software services to internet-connected devices a concept now known as "cloud computing."
The layoffs are being made on the heels of a shake-up in Salesforce's top ranks. Benioff's hand-picked co-CEO Bret Taylor, who also was Twitter's chairman at the time of its tortuous
44 billion sale to billionaire Elon Musk, left Salesforce. Then, Slack co-founder Stewart Butterfield left. Salesforce bought Slack two years ago for nearly
28 billion.
Salesforce workers who lose their jobs will receive nearly five months of pay, health insurance, career resources, and other benefits, according to the company. Amazon said it is also offering a separation payment, transitional health insurance benefits, and job placement support.
Benioff, now the sole chief executive at Salesforce, told employees in a letter that he blamed himself for the layoffs after continuing to hire aggressively into the pandemic, with millions of Americans working from home and demand for the company's technology surging.
"As our revenue accelerated through the pandemic, we hired too many people leading into this economic downturn we're now facing, and I take responsibility for that," Benioff wrote.
Salesforce employed about 49,000 people in January 2020 just before the pandemic struck. Salesforce's workforce today is still 50% larger than it was before the pandemic.
Meta Platforms CEO Mark Zuckerberg also acknowledged he misread the revenue gains that the owner of Facebook and Instagram was reaping during the pandemic when he announced in November that his company would by laying off 11,000 employees, or 13% of its workforce.
Like other major tech companies, Salesforce's recent comedown from the heady days of the pandemic have taken a major toll on its stock. Before Wednesday's announcement, shares had plunged more 50% from their peak close to
310 in November 2021. The shares gained nearly 4% Wednesday to close at
139.59.
"This is a smart poker move by Benioff to preserve margins in an uncertain backdrop as the company clearly overbuilt out its organization over the past few years along with the rest of the tech sector with a slowdown now on the horizon," Wedbush analyst Dan Ives wrote.
Salesforce also said Wednesday that it will be closing some of its offices, but didn't include locations. The company's 61-story headquarters is a prominent feature of the San Francisco skyline and a symbol of tech's importance to the city since its completion in 2018.
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Woman, 2 sons found dead in Delhi home; suicide suspected
New Delhi (PTI): Three members of a family were found dead inside their home in southeast Delhi's Kalkaji on Friday, with police suspecting it to be a case of suicide, officials said.
Police said the incident came to light around 2.47 pm when a police team reached the premises to execute a court order related to possession of the property. When repeated knocks went unanswered, the staff used a duplicate key to open the door.
Inside, officers found Anuradha Kapoor (52) and her sons, Ashish Kapoor (32) and Chaitanya Kapoor (27), hanging from the ceiling, Deputy Commissioner of Police (Southeast) Hemant Tiwari said in a statement. All three were declared dead.
A handwritten note was recovered from the room, suggesting the family had been struggling with depression.
"The handwritten note indicates emotional distress faced by the family due to which the family may have taken the extreme step," the officer said.
The bodies have been shifted to the All India Institute of Medical Sciences (AIIMS) mortuary for post-mortem and other legal formalities under Section 194 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), police said.
Residents of the neighbourhood said they were shocked to learn about the deaths, adding that the family kept largely to themselves.
Pankaj Kashyap, a resident of Girinagar, said he learnt about the deaths while leaving for work. "I live and work here and was leaving for work when I saw many people standing outside and talking. That is how I got to know that three people had committed suicide. I also saw several police vehicles outside, but I do not know much beyond that," he said.
Baldev, another neighbour, said the family had been living in the newly constructed house for around two years. "We only knew that a mother and her two children lived there. They had moved into the newly built house around two years ago. We did not interact much with them. Today we heard that all three have committed suicide, and whatever we know is based on what people here are saying," he said.
Another neighbour, Ramesh Kumar, claimed the family had earlier attempted suicide.
"About fifteen to twenty days ago, the two sons in the family had attempted suicide and police and ambulances had come. That was when I first got to know who they were. I do not recognise them by face, but we saw the ambulances and police take the two sons that day. Today again we saw ambulances and police arriving, so everyone came out to see what had happened. I do not know how long they had been living here, but this is all we know," he said.
Police said they are examining the family's financial condition, social circumstances, and other factors that may have contributed to the incident. Further investigation is underway.
