Amazon-owned footwear seller Zappos already laid off around 30 people past year, while last March, the parenting product subsidiary Quidsi that runs Diapers.com and other sites, cut more than 250 jobs.
The cuts also don't indicate Amazon, which employs more than half a million people globally, has any intentions of cutting more or of slowing down its hiring practices elsewhere.
Amazon is one of the largest US corporate employers, with a global headcount of 566,000 as of December 2017. It has also been revealed that the move would mostly affect Amazon's consumer retail businesses.
The cuts come as Amazon continues to locate a location for its second headquarters.
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A spokesperson for Amazon said that as part of the company's planning process it does each year, it is making adjustments to head count throughout the company, with small reductions in a few places and aggressive hiring in several others. In Las Vegas, Amazon-owned footwear seller Zappos has laid off about 30 people. The results were the largest in its history and the first time it topped $1 billion in a quarter. Visit MarketWatch.com for more information on this news. Counting only corporate roles outside of Amazon's warehouses, the company had 12,500 open jobs on Monday.
Shares of the online retailer were up 3.6 percent on Monday afternoon.
"Amazon has a problem right now with overpopulation", said one engineer at the company. However, during the last two years there was more staff than they actually needed and today's cut signals a streamlining of operations. Amazon has said the city that wins will receive over $5 billion in investments and 50,000 job openings.
The process of notifying employees has already started, the source said.