Amazon is cutting off another hundreds of employees, this time with its healthcare divisions, as it continues to implement cost-cutting measures across the company.

The e-commerce giant announced on Tuesday that it eliminating a "few hundred roles" in its Pharmacy and One Medical units to "reposition resources" in other investments.

One Medical, which previously has been operating on a $420 million loss, was just recently acquired by Amazon in 2023 for approximately $3.9 billion.

People familiar with the matter told Business Insider that the current layoffs were initially scheduled before Feb. 1, along with other job cuts announced, but was delayed due to recent earnings report and internal issues.

Also Read: Amazon Layoffs: Prime Video, MGM Studio Cuts Off Hundreds of Employees

Amazon Wants to Gain More Control of One Medical

Following its acquisition, Amazon has been exerting more control over One Medical as the bigger corporation plans to consolidate its marketing resources to its primary healthcare businesses, Business Insider reported.

According to reports, Amazon wants to lower One Medical's operation costs from 40% down to 21% as it plans to introduce AI tools to upscale its production.

Amazon's plans have reportedly been not going well with One Medical's executives as seen with the health tech's former CEO Amir Dan Rubin stepping down last year.

Changes within its operations have already been noted with One Medical starting to offer compensation plans resembling those of Amazon's.

Amazon Continues Mass Layoffs in 2024

Amazon, as has been noted by other media outlets, has been aggressively slashing costs after Andy Jassy became CEO in 2021.

Much of the cost reductions were made in the company's newer and less fruitful investments. Sadly, many of these cost-cutting measures impacted many employees across the world.

Amazon reportedly eliminated more than 27,000 roles in the company last year, one of the biggest job cuts from the tech industry made in a single year.

The company has been citing growing inflation and increasing interest rates for the layoffs, a problem contradicted by its high revenues following the pandemic.

So far, Amazon has executed layoffs across most of its departments with the most impacts on Prime Video, MGM Studios, Twitch, and Audible units.

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