(VOR News) – In a statement that was sent out on Monday, Andy Jassy, the Chief Executive Officer of Amazon, stated that the business is informing its corporate employees that they have to report to work five days each week.
The decision represents a significant divergence from Amazon’s previous return-to-work policy, which required corporate workers to be present in the office for a minimum of three days per week.
This policy was in place until the decision was made. Due to the fact that the firm has now provided employees with till January 2 to begin conforming to the new standards, employees will have until that date to begin doing so.
According to Jassy, it will be required of employees of corporations that they will be present at their place of employment five days per week “outside of extenuating circumstances” or unless they have been granted an exception by the leader of their organization’s S-team.
The Amazon S-team is a close-knit group of executives who report to the CEO.
“Before the pandemic, it was not a given that people could work remotely two days a week, and that will also be true moving forward — our expectation is that people will be in the office unless there are extenuating circumstances,” according to Jassy. “We anticipate that people will be in the office.”
In order to streamline its organisational structure, Amazon is reportedly planning to “remove layers and flatten organisations,” as stated by Jassy. Reducing the number of managers will be the means by which this objective will be achieved.
The information that he provided suggests that by the time the first quarter of 2025 comes to a close, it will be expected of every S-team organisation that they will have increased the ratio of individual contributors to managers by a minimum of fifteen percent.
The phrase “individual contributors” is used to refer to people who, in the majority of instances, do not have direct supervision over other members of the workforce of the organisation.
Regarding the question of whether or not the change will result in the elimination of particular manager positions, there is a distinct lack of clarity.
Amazon did not answer right away when asked for a statement.
The request was not immediately received with a response. However, prior to Jassy taking over as CEO of Amazon and implementing widespread cost reductions across the company, including the most severe layoffs in the company’s 27 years as a public corporation, the company had a significant increase in its personnel during the epidemic.
A total of 1.53 million people were employed by Amazon during the second quarter of the year, which represents a growth of only 5% when compared to the same time period in the previous year. Amazon’s workforce, on the other hand, experienced a 14% increase, reaching 1.52 million employees during the second quarter of 2022. This is a point of comparison.
Jassy wrote a lengthy letter to the staff members, in which she highlighted that Amazon is implementing these changes in order to enhance its corporate culture and guarantee that it continues to be agile during the transition period.
He added that the organisation had built a “bureaucracy mailbox,” which is a dedicated email alias, in order to eliminate any unnecessary procedures or excessive rules that were introduced within the organisation. This was done in order to highlight the point that was being made.
Jassy is writing from here, and she says, “We want to operate like the world’s largest startup.”
“That means having a passion for constantly inventing for customers, a strong sense of urgency (for the majority of big opportunities, it’s a race!), high ownership, an ability to make decisions quickly, scrappiness and frugalism, deeply connected collaboration (you need to be joined at the hip with your colleagues when inventing and solving difficult problems); and a shared commitment to each other.”
Over the course of the afternoon trading session, Amazon shares saw a decrease.
SOURCE: CNBC
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