Amazon plans 370 job cuts at European HQ in Luxembourg: Who could be affected

Amazon is set to lay off 370 employees at its European headquarters in Luxembourg in the coming weeks, accounting for about 8.5% of its workforce there, Bloomberg reported. The company had initially planned to cut 470 jobs, but European Union regulations require firms to negotiate layoffs with employee representatives and, in some cases, government authorities.

According to Bloomberg, Amazon informed employees in a memo that the layoffs are “adjustments that reflect business needs and local strategies.” The company also said it is going “well beyond industry benchmarks” in Luxembourg when it comes to severance packages. One Amazon employee told Bloomberg that it would be challenging for hundreds of people entering the job market at the same time to find new roles in the small country.

According to People Matters, non-EU workers who lose their jobs normally have three months to either find new employment or leave Luxembourg under the country's immigration laws. Despite the cuts, Amazon is still expected to remain the fifth-largest employer in Luxembourg, which has a population of about 680,000, notes the outlet.

Who will be affected by the Amazon job cut

The layoffs are expected to primarily impact software developers, Bloomberg reported, citing an employee, as the tech industry increasingly turns to artificial intelligence to handle coding tasks. Amazon said in October that it would cut 14,000 jobs globally as it deepens its use of AI. That same month, reports suggested that the company’s plans to expand its robotics operations could put around half a million jobs in the US at risk.