Amazon to review unprofitable business units in cost-cutting push

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Company is taking ‘current macro environment’ into account, says spokeswoman for Irish business

However, the company, which opened its first Irish warehouse or “fulfilment centre” in Baldonnell Business Park in Dublin in September, said last year that the new facility would create 500 jobs, bringing its Irish headcount to 5,000.

“As part of this year’s review, we’re of course taking into account the current macro-environment and considering opportunities to optimise costs,” she said. She said the company also remains optimistic about the future of the Alexa product, which “remains an important part of the business and area of investment of Amazon”.

Poor performance by its core retail unit has led Amazon to backtrack on its aggressive logistics expansion plans. It has paused, or cancelled operating, at least 50 US warehouses, according to data from logistics analyst Marc Wulfraat. It has also reduced its workforce from a high of 1.62 million in March this year to 1.55 million at the end of September.

 

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