Amazon Layoff: If reports are to be believed, a section of employees mostly in the L1 to L7 band in the company’s Amazon’s Experience and Technology team have received a note stating they are eligible for the company’s Voluntary Separation Program (VSP).
New Delhi: Days after slashing 10,000 jobs, Amazon has reportedly asked some of its Indian employees to resign voluntarily, instead of the company terminating their contract. If reports are to be believed, a section of employees mostly in the L1 to L7 band in the company’s Amazon’s Experience and Technology team have received a note stating they are eligible for the company’s Voluntary Separation Program (VSP). Moreover, the note clarified that the employees will have to sign for the VSP by November 30 to get monetary benefits.
“Pursuant to the VSP, eligible employees will have the opportunity to resign voluntarily from employment in exchange for the VSP benefits.Please remember that all Application Forms to participate in the VSP must be received via Smart forms no later than 6:30 a.m. India Standard Time on November 30, 2022,” the internal document reportedly said.
What Will Happen If Employees Sign VSP
- After signing the VSP, employees are eligible to get up to 22 weeks Base Pay, plus one-week base salary for every six months of service (rounded to the nearest 6 months) up to a maximum benefit of twenty weeks paid severance.
- As per an Insurance Benefit policy, the employees are also eligible for medical Insurance coverage for 6 months.
- Those falling under performance improvement programs (PIP) are not eligible for VSP.
More Layoffs Coming in Early 2023
Amazon CEO Andy Jassy has warned employees that there will be more layoffs at the company in early 2023 “as leaders continue to make adjustments”. “Those decisions will be shared with impacted employees and organisations early in 2023,” he said in a statement late on Thursday.
“We haven’t concluded yet exactly how many other roles will be impacted (we know that there will be reductions in our Stores and PXT organisations), but each leader will communicate to their respective teams when we have the details nailed down,” Sassy added.
The massive job cuts have hit several divisions, especially the Alexa virtual assistant business and the Luna cloud gaming unit.