Amazon Luxembourg Cuts 370 Jobs in Largest European Layoff Plan

(LUXEMBOURG) Amazon says it will cut 370 employees at its European headquarters in Luxembourg, its biggest ever round of job losses at the site, after talks with staff representatives reduced an earlier plan to remove 470 roles. The company said workers selected for redundancy will start getting notices in early February 2026, with departures expected from February 2026 as the agreed “social plan” takes effect. The cuts hit about 8.5% of the site’s more than 4,250 permanent staff, a sharp jolt for a country that has marketed itself as a stable base for global tech and finance.

How this fits into Amazon’s wider restructuring

Amazon’s Luxembourg move slots into a wider corporate pullback announced in October 2025, when the group said it planned to eliminate around 14,000 corporate jobs worldwide — roughly 4% of its corporate workforce and its largest reduction since 2023.

Company disclosures and reporting by Bloomberg described the Luxembourg cuts as focused on corporate functions that steer European markets, including:

• Strategic decision‑making
• Finance
• Legal and compliance
• Software development and other technical roles

Software developers and other technical staff are among those most affected, reflecting how engineering teams are being reshaped as the company pushes more AI and automation into product and back‑office work. Industry reports suggest the pressure could spread, with possible further reductions across the sector as firms chase savings while spending heavily on AI.

Timeline and consultation process

Luxembourg Labour Minister Georges Mischo brought the looming cuts into the open on 28 November 2025, saying up to 470 roles were at risk and urging Amazon to use national job‑retention programmes to avoid what he called a “historic” social plan.

Under European Union labour rules and local social law, management had to consult elected staff delegates before finalising redundancies on this scale. After two weeks of talks, Amazon and the Staff Delegation said they agreed to trim the number of layoffs to 370 employees, alongside a package of support measures that the delegates described as “well beyond industry benchmarks.”

Amazon said it would:

1. First seek internal redeployment, training and natural attrition.
2. Then offer severance where roles still disappear.

In messages shared with staff, the company said the first notifications would be issued in early February 2026, and it does not expect the reduction plan to take effect until February 2026.

Support, communication and employee options

Workers were told they could contact:

• Their managers
• Luxembourg leadership teams
• The Staff Delegation

to discuss options and support. The Staff Delegation said it would stand by “every single impacted colleague” through the process, while Amazon pointed to an Employee Assistance Programme that will also be open to family members.

For employees who moved to Luxembourg for these jobs, the calendar matters as much as severance terms. A layoff in a small labour market can trigger urgent decisions about schooling, housing and whether a partner can keep working.

For the 370 employees whose roles are being cut, the coming winter will likely be defined less by strategy memos and more by the hard work of finding a new place in a fast‑changing tech economy.

Immigration and residence‑permit implications

That pressure is sharper for non‑EU nationals on employer‑linked permits. In Luxembourg, laid‑off third‑country nationals typically have a three‑month period to find new work that keeps their residence status, or risk having a permit withdrawn. Details depend on the person’s status, but the common thread is that the clock starts quickly once employment ends.

Key actions and resources:

• Officials direct residents to the government portal Guichet.lu for residence and work‑authorisation procedures.
• Job seekers often need to register with ADEM, the national employment agency, while lining up a new sponsor.
• Some may qualify to switch or renew an EU Blue Card if they meet salary and contract rules; others will need a new employer to take over the permit process.

The same anxiety shows up among tech workers tied to visas elsewhere, including H‑1B holders in the United States, where losing a job can also put lawful status at risk. According to analysis by VisaVerge.com, big tech layoffs have started to reshape where global engineers choose to live, as they weigh stability against opportunity.

The role of Luxembourg headquarters going forward

Amazon said the European headquarters in Luxembourg remains a major hub for its regional business, even as it pares back some teams. The site supports corporate work that affects customers and sellers across Europe, and Amazon remains one of the country’s largest private employers.

The company has stressed that it will keep hiring in areas it sees as growing — a message meant to reassure local officials who have welcomed multinational investment as a pillar of the economy.

However, for staff in technical roles, the singling out of software developers in company disclosures has fed concern that AI‑driven engineering is not just a new tool but a new staffing model. Roles that once sat in Luxembourg can be:

• Consolidated elsewhere
• Broken into smaller pieces that machines can handle

Impact on affected employees and families

Several of those affected are international professionals who relocated to Luxembourg, drawn by the promise of long‑term corporate jobs and the chance to build a life in a multilingual country at the heart of the EU.

Now, as redundancy letters approach, many are calculating timelines for:

• Interviewing
• Securing a contract
• Updating a residence permit before grace periods run out

Recruiters say the market can move quickly, but senior corporate roles do not always match neatly across companies. Some workers may need to accept different duties to stay in the country. Friends and colleagues have also raised fears about families who depend on a single salary, or who signed long leases in one of Europe’s more expensive housing markets.

Lawyers who advise multinational staff often warn that a gap in work can carry knock‑on effects, including:

• Loss of health insurance coverage
• Impacts on family members’ rights to remain, schooling and other benefits

Broader industry context

The Luxembourg layoffs highlight a change in the kind of work multinationals place in the country. Amazon’s offices have long been known as a decision‑making centre for European policy and operations, which is one reason staff include lawyers, compliance specialists and finance experts alongside coders.

By targeting corporate and technical functions together, the plan shows how cost cutting and automation can touch teams that do not build consumer products directly. Analysts say this is becoming common across the technology industry in 2025, as companies:

• Try to fund heavy AI spending while keeping margins under control
• Use tools that can write code, test systems or sort documents, reducing the need for some tasks

Industry reports have said the cuts at Amazon and peers could ultimately reach tens of thousands of corporate positions worldwide.

Statements from parties involved

• Amazon: Said it worked with the Staff Delegation “in good faith” and that the agreed package balances business needs with support for staff.
• Staff Delegation: Framed the deal as damage control after management presented the larger proposal, and said the Employee Assistance Programme and other measures will help workers and families cope while they look for the next job.
• Luxembourg Labour Ministry: Encouraged the company to use Luxembourg programmes designed to keep workers attached to the labour market during downturns.

Amazon has not given figures on how many people could be redeployed inside the group.

Practical checklist for impacted staff

1. Expect the first notifications in early February 2026.
2. Contact managers, the Staff Delegation, or Luxembourg leadership teams to explore redeployment and support.
3. Use the Employee Assistance Programme for counselling and family support.
4. Non‑EU nationals should:
   • Check residence timelines (typically three months).
   • Consult Guichet.lu and register with ADEM if needed.
   • Seek immigration/legal advice about the EU Blue Card or permit transfers.
5. Update CVs and line up interviews as quickly as possible; consider flexible role criteria.

Warning: For non‑EU nationals, a layoff can quickly affect residence status. Acting promptly on permit and job‑search steps is critical.

Amazon has said Luxembourg will stay central to its European operations, but for the 370 employees whose roles are being cut, the next months will be dominated by immediate personal and legal logistics as they try to secure new opportunities in a shifting tech economy.