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HomeCosta RicaCosta Rica Faces Job Losses as Amazon Slashes Thousands in Global Overhaul

Costa Rica Faces Job Losses as Amazon Slashes Thousands in Global Overhaul

Amazon confirmed that its latest round of job cuts has reached Costa Rica, where the company operates one of its largest hubs outside the United States. The reductions form part of a global plan to eliminate 16,000 corporate positions, affecting workers in areas like technology, human resources, and retail support.

Local employees reported receiving layoff notices starting as early as 5 a.m. on Wednesday. Several anonymous staff members told Costa Rican media outlets that supervisors informed them during brief meetings, with some learning of their dismissals through emails sent the previous day.

One worker described the process as abrupt, noting that access to company systems was revoked shortly after the notification. Amazon has offered affected employees the chance to apply for open internal roles, though sources indicate limited availability. Those unable to secure new positions will receive severance packages tied to their years of service, along with continued benefits for a set period.

The company employs close to 15,000 people in Costa Rica, making it a key player in the nation’s tech sector. While Amazon has not released specific figures for local cuts, reports suggest the changes hit various departments, including supervisory levels. This follows a similar reduction in October 2025, when Amazon trimmed 14,000 jobs worldwide, bringing the total to around 30,000 over recent months.

Beth Galetti, Amazon’s vice president of human resources and technology, addressed staff in an internal message: “We are making additional changes in Amazon’s organization that will impact some of our colleagues. I recognize this is difficult news.” The moves aim to flatten the company’s structure, boost individual accountability, and cut administrative layers. Executives have linked the strategy to adapting to artificial intelligence advancements and trimming excess from rapid hiring during the pandemic.

Costa Rica’s economy has felt the ripple effects of such corporate adjustments before, with recent layoffs at firms like Intel and Qorvo adding to unemployment pressures. Amazon’s presence here supports roles in customer service, software development, and cloud computing through its Amazon Web Services division. The latest cuts come amid broader shifts, including the closure of nearly 70 Amazon Fresh and Amazon Go stores globally, as the company focuses on expanding its Whole Foods Market operations.

Workers expressed concern over the sudden changes, with some highlighting the challenges of finding comparable jobs in a competitive market. Government officials have not yet commented on potential support measures for those affected.

Amazon’s layoffs underscore ongoing transformations in the tech industry, where companies balance growth with efficiency. For Costa Rican families tied to these positions, the reductions mark a direct hit to stability in a sector that has driven much of the country’s recent economic progress.

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