Amazon announces biggest ever layoffs, to cut 8.5 per cent of employees working in THIS dept, details here
GH News December 17, 2025 05:06 PM

Amazon has announced that it will cut 370 jobs at its European headquarters in Luxembourg in the coming weeks. This will be the biggest round of job losses ever at this office. The cuts affect about 8.5 per cent of the 4370 employees working there. The layoffs come after Amazon said in October that it would reduce its global workforce by 14000 jobs as part of a wider shift toward artificial intelligence.
According to a report by the Luxembourg Times Amazon and employee representatives agreed on a social plan late Friday after two weeks of talks. The company had first planned to cut 470 jobs but the number was lowered during negotiations.
Under European Union labour laws companies must hold discussions with worker representatives before making large job cuts. These rules played a role in reducing the final number of layoffs.
Which employees to affect most?
Job cuts linked to AI-led changes at Amazon are expected to hit software developers the hardest. According to a report by Bloomberg many of the roles being reduced involve software development as companies in the tech sector are increasingly using artificial intelligence to handle coding and related work.
In a memo sent to staff on December 12 Amazon described the layoffs as adjustments based on business needs and local strategy. The company also said that the severance package offered to employees goes beyond standard industry practices. The Luxembourg labour ministry has not publicly commented on the situation.
One Amazon employee told Bloomberg that the situation could be difficult for workers looking for new jobs in Luxembourg. With hundreds of people entering the local job market at the same time finding fresh employment could be challenging in a country with a population of around 680000. Employees who moved to Luxembourg from other countries will have just three months to find a new job or leave the country.
The job cuts are expected to take effect in February. While details of the compensation packages have not been made public Amazon’s management said they are in line with or better than similar redundancy plans in Luxembourg.
An Amazon spokesperson said the company’s main focus now is to carry out the agreed measures and support employees who are affected during this transition period.