Restructuring Shock: Amazon Cuts 370 Jobs at European HQ in Luxembourg

The layoffs primarily affect software developers and support staff, as Amazon shifts focus toward artificial intelligence and automation. The company had initially planned to cut 470 jobs but reduced the number after negotiations with employee representatives, resulting in a social plan to cushion the impact. Despite the cuts, Luxembourg remains a strategic hub for Amazon, which continues to hire in growth areas such as cloud services and logistics.  

Notable updates  
• Amazon to cut 370 jobs at its European HQ in Luxembourg  
• Represents 8.5% of the local workforce, the largest reduction in 20 years  
• Software developers most affected due to AI-driven restructuring  
• Initial plan of 470 job cuts scaled down after negotiations with employee groups  
• Luxembourg remains Amazon’s fifth-largest employer despite layoffs  

Major takeaway  
Amazon’s record layoffs in Luxembourg highlight the disruptive impact of AI adoption on traditional tech roles, underscoring the need for workforce reskilling and adaptation in Europe’s digital economy.  

Sources: Times of India, Business Standard, Bloomberg, India.com