Amazon has announced the closure of a warehouse in Tukwila, Washington, just south of Seattle, resulting in layoffs of 172 employees. The company stated that employees will be offered opportunities to transfer to other facilities nearby or receive support if they choose not to stay with Amazon. This decision is part of Amazon’s ongoing evaluation of its network to ensure it fits its business needs and improves the experience for its employees, customers, partners, and drivers. Amazon employs 75,000 people in the Seattle region and has a global workforce of 1.52 million people, with a 4% year-over-year increase as of March 31.
During a call with reporters following the company’s first quarter earnings release, Amazon CFO Brian Olsavsky attributed the year-over-year growth in headcount to warehouse-related operations. Amazon has been focusing on enhancing its delivery speeds in the first three months of this year, setting new records for Prime delivery speeds. The company has shifted to using regional fulfilment centers to serve smaller geographic areas, dividing the country into smaller, easier-to-reach regions. Amazon executive Doug Herrington announced plans to double the number of smaller same-day delivery facilities in the coming years to further improve delivery speeds and efficiency.
In the past year, Amazon laid off 27,000 corporate workers, but warehouse jobs were not affected as part of those cuts. The company has been continuously working to optimize its operations and network to meet the changing demands of its business and customers. Despite the closure of the warehouse in Tukwila, Amazon remains a major employer in the Seattle region, employing a large number of corporate and tech workers. The company’s global headcount continues to grow, reflecting its ongoing expansion and investment in its operations worldwide.
Amazon’s decision to close the Tukwila warehouse is part of a broader strategy to enhance its delivery operations and improve the overall customer experience. By focusing on regional fulfilment centers and smaller same-day delivery facilities, Amazon aims to increase delivery speeds and efficiency. The closure highlights the company’s commitment to evaluating and optimizing its network to align with its business needs and facilitate growth. The layoffs at the facility are part of Amazon’s effort to streamline its operations and workforce while continuing to support affected employees through opportunities for transfer or support if they choose to leave the company.
The closure of the warehouse in Tukwila is a strategic move by Amazon to realign its network of facilities and optimize its operations. The company’s focus on regional fulfilment centers and smaller same-day delivery facilities reflects its commitment to improving delivery speeds and efficiency for its customers. Amazon’s ongoing evaluation of its network and workforce demonstrates its agility in responding to changing business needs and market demands. As Amazon continues to grow its global workforce and expand its operations, it remains a major employer in the Seattle region and worldwide, driving innovation and delivering value to customers.
