Resignations were voluntary: Amazon denies layoff allegations

New Delhi, Nov 25: Technology giant Amazon has reportedly said that the company has not sacked any employee, some have left the company under a 'Voluntary Separation Program (VSP)'.

The news of e-commerce giant Amazon laying off 10,000 employees started circulating amid fears of a global recession.

Union Labour Ministry had summoned Amazon over its cutbacks in India, asking its representatives to attend a hearing on Wednesday.

Amazon, after a months-long review, has cautioned employees in some unprofitable units to look for other opportunities within the company, the Wall Street Journal reported.

The fear of recession has loomed large with several MNCs initiating cost-cutting measures. In the last two months, many companies have fired their employees and restructured their workforce.

Meta Platforms, the parent company of Facebook, Instagram, and WhatsApp, on Wednesday announced that it is laying off 11,000 workers as part of its cost-cutting strategy.

In a letter to employees, Mark Zuckerberg, founder, and CEO of the company, said the company has decided to reduce the size of the team by about 13 per cent and is letting 11,000 employees go.

This comes days after Twitter takeover, its new boss Elon Musk fired over 3,000 out of 7,000+ employees. Microsoft (1,000), Snap (over 1000), Lyft (about 7000), Stripe (around 1,100), Coinbase (1,100), Shopify (1,000), and Netflix (450) have also taken measures to reduce the cost by sacking its employees.

The inflation and the fear of recession followed by the under-performance in the first quarter have made companies play safe and take steps to reduce expenditure.