An official Amazon HR document has revealed a surge in employees put on PIPs during a time of record layoffs. The document shows that the number of staff placed on PIPs increased significantly from spring 2022 through early 2023. Some employees viewed this as a strategy for “quiet firing” to reduce severance costs and minimize market noise. Amazon’s PIP system has been a source of frustration for employees for years.
In April 2022, nearly 2,000 employees were enrolled in the Focus program, the initial stage of Amazon’s PIP process. By the end of the year, over 3,300 employees were entering Focus each month, with numbers spiking even higher in January 2023.
The Pivot phase of Amazon’s PIP system saw a doubling in the number of new monthly entries during the same period, according to a document prepared by the company’s “PXT” group. This increase in PIPs coincided with 27,000 layoffs announced by Amazon between November 2022 and March 2023.
Amazon spokesperson Margaret Callahan confirmed the authenticity of the HR document but noted changes in data-reporting mechanisms. The company emphasized that any past workforce reductions were not linked to its PIP process.
The document raised concerns among employees about “quiet firing,” where jobs are discreetly eliminated to cut costs and reduce public attention. Some employees felt that tougher performance reviews and other tactics were being used to encourage them to leave.
Overall, the data from the document shed light on Amazon’s approach to employee performance management during a period of significant organizational changes.