Amazon to cut 1,300 jobs

Online retailer Amazon.com said tonight it planned to cut 1,300 jobs, or 15 per cent of its workforce.

Online retailer Amazon.com said tonight it planned to cut 1,300 jobs, or 15 per cent of its workforce.

The news came as the Seattle-based company announced fourth-quarter losses that were slightly lower than figures analysts were expecting.

The company posted a reduced quarterly loss, just beating Wall Street estimates, but said it would cut 15 per cent of its workforce and take a restructuring charge of more than $150 million.

Amazon, which sells everything from books to electronics to hardware at its online store, said it would close a distribution center in McDonough, Georgia, and its customer service center in Seattle. It also said it would operate its Seattle distribution center only seasonally.

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The company statement gave no immediate reason for the restructuring, but analysts had expected the move because of continued losses by the company, which is under pressure from investors to turn a profit, and because of a disappointing holiday sales season.