Amazon is restructuring its Fresh grocery division and eliminating the position of "zone lead". This measure will cause hundreds of Fresh employees to be laid off, reports the Washington Post. CEO Andy Jassy has been attempting to reduce expenses and has halted some Fresh and Go store openings as the corporation modifies its physical store plan.
Amazon has confirmed it is downsizing some jobs at its Fresh grocery stores.The firm made a statement saying it has decided to evolve its in-store staffing and operations model, resulting in the elimination of its "zone lead" role. Zone leads are lower-level management positions, and they typically take on responsibility for supervising certain store departments while helping to train new personnel.Jessica Martin, a spokesperson for Amazon, declared: "Like any retailer, we periodically assess our stores' organizational needs and make decisions to increase efficiencies for our employees and deliver customer value."The Washington Post previously reported that hundreds of workers were put out of work due to the job cuts. Amazon's website states the company has 44 Fresh stores in eight U.S. states plus Washington, D.C.As for the affected Fresh employees, Amazon reported they may either look for new roles in the company or receive a severance payment.Amazon has been focused on conquering the grocery market since the debut of its Fresh delivery service in 2007. The acquisition of upscale grocer Whole Foods Market for $13.7 billion in 2017 made great headlines and was Amazon's most expensive purchase to date.Subsequently, the firm launched a line of Go cashierless stores, plus a Fresh supermarket chain catering to conventional shoppers. Earlier this year, Amazon mentioned it was considering closing some Fresh and Go outlets as part of CEO Andy Jassy's cost-saving initiative. Jassy commented that Amazon's strategy in physical groceries is to come up with a formula that appeals to customers, with "economics" they like.The corporation also added that a successful physical grocery business demands an existence beyond Whole Foods, a combination of scaled stores and those offering selection, value, and convenience.The job cuts at Amazon Fresh follow the company's biggest-ever layoffs, with roughly 27,000 staff dismissed since late 2019. CNBC reported at the time that personnel contributing to grocery technologies, as well as those in the Fresh and Go departments, were included in these layoffs.
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