Amazon to cut 370 jobs in Luxembourg as part of global workforce restructuring

Amazon is preparing to cut 370 jobs in Luxembourg in the coming weeks, marking the country’s largest round of layoffs in over two decades and forming part of the company’s broader global workforce reduction. The move follows Amazon’s earlier announcement to eliminate around 14,000 roles worldwide as it restructures operations and prioritises strategic growth areas.

The planned layoffs will impact roughly 8.5% of Amazon’s Luxembourg workforce, where the company employs about 4,370 people. While Amazon will continue to be among the country’s largest private employers even after the cuts, the scale of the reduction has drawn attention locally due to its rarity and impact.

In line with European labour regulations, Amazon entered consultations with employee representatives before proceeding. These discussions resulted in a reduction of the proposed job losses from an initial 470 to 370. Employee representatives have indicated that most affected staff are likely to receive formal notifications about their positions in February.

In an internal memo circulated to employees on December 12, Amazon described the layoffs as necessary adjustments driven by evolving business requirements and local operational strategy. The company also stated that the severance packages being offered exceed standard industry norms. Luxembourg’s labour ministry has not issued an official response to the development.

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The job cuts pose particular challenges for international employees who relocated to Luxembourg for Amazon roles. Workers from countries such as India, the United States, Australia, Egypt and Tunisia now face uncertainty, as local immigration rules generally allow only a three-month window to secure new employment after job loss. Employee representatives have warned that this timeframe will be especially difficult given the number of people entering the job market simultaneously.

Amazon has linked its global workforce reduction to efforts to simplify internal structures and reallocate resources toward areas such as artificial intelligence. The company has also signalled that additional layoffs could occur in 2026, with future hiring largely restricted to select growth-focused roles.

Trade unions in Luxembourg have criticised the decision, noting that Amazon benefits from favourable tax conditions in the country. They argue that large technology firms often adopt employment practices that clash with Luxembourg’s tradition of social dialogue and labour stability.

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Despite the layoffs, Amazon has not indicated any intention to scale back its physical presence or exit Luxembourg. Senior representatives from both the company and the Luxembourg government have reiterated that Amazon remains a key corporate partner, even as hundreds of employees brace for potential job losses.