Amazon’s CEO is revoking a major perk employees love

Amazon (AMZN) it’s a time travel back to 2019 with the latest change in the workplace that many employees may not be happy about.

Amazon CEO Andy Jassy just revealed in a memo to employees that the company wants to “deliver the best for customers and business,” and that means going back to the office five days a week.

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“We have decided that we will return to the office as we were before the onset of Covid,” Jassy said in the note. “When we look back over the past five years, we continue to believe that the benefits of being in the office together are significant.”

The change comes after Jassy informed staff last February that they would have to return to the office at least three days a week after working remotely full-time since the start of the pandemic.

In the new memo, Jassy now claims that working three days a week for the past 15 months has emphasized the benefits of in-person work, which is why employees will have to return to office work five days a week.

Workers sort packages at an Amazon distribution facility in Tepotzotlan, Mexico, on December 13, 2023.

Bloomberg/Getty Images

“We have previously explained these benefits (February 2023 post), but in summary, we have noticed that it is easier for our colleagues to learn, model, practice and reinforce our culture; collaboration, brainstorming and invention are easier and more efficient; teaching and learning from each other are more fluid; and, teams tend to be better connected to each other,” Jassy said.

Despite the change, employees will still have the option to work remotely in “extenuating circumstances.”

“Before the pandemic, not everyone was in the office five days a week, every week,” Jassy said. “If you or your child has been sick, if you’ve had some kind of emergency at home, if you’ve been on the road seeing clients or partners, if you need a day or two to finish coding in a more secluded environment, people worked remotely. This has been understood and will continue as well.”

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The change will take effect on January 5, 2025, and once employees return to full-time office work, they can also expect assigned office arrangements, which will be active in office locations that were previously organized this way before the pandemic.

In addition to the return of full-time office work, Jassy also announced that the company will reduce the number of managers it has by 15%, a change that will be completed by the end of the first quarter of 2025.

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“Having fewer managers will remove layers and flatten organizations more than they are today,” Jassy said. “If we do this work well, it will increase the ability of our colleagues to move quickly, clarify and reinvigorate their sense of ownership, drive decision-making closer to the front line, where it has the greatest impact on customers ( and business), to cut red tape, and strengthen our organizations’ ability to make customers’ lives better and easier every day.”

Amazon employees fought back against back-to-the-office efforts

Jassy’s announcement comes after Amazon employees dodged the company’s 2023 mandate to return to the office via coffee badges, which is when employees swipe their badges in the office and only stay long enough for a cup of coffee or to attend a meeting .

After Amazon allegedly caught wind of the trend, the company began requiring employees to spend at least two to six hours a day for each office visit, depending on the team.

The return to full-time office work is expected to intensify significantly in corporate America. According to a recent KPMG survey of 1,300 CEOs worldwide, 64% of CEOs predict a full return to the office by 2025. Also, 87% of CEOs are “likely to reward” returning employees at the office “with favorable missions”. , raises or promotions.”

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