Comment by focusgroup0
Comment by focusgroup0 4 days ago
>Amazon axes 16,000 American jobs as it ... relocates to a larger campus in India
https://techcrunch.com/2025/12/10/amazon-to-invest-additiona...
Comment by focusgroup0 4 days ago
>Amazon axes 16,000 American jobs as it ... relocates to a larger campus in India
https://techcrunch.com/2025/12/10/amazon-to-invest-additiona...
Sure, but at some point in the past, "Amazon India" was not a thing. Nor was "Microsoft India" and so forth. Surely you can understand what it feels like to be an American tech worker in a super high cost of living area, looking at reduction in headcount and continual offshoring of jobs as time goes by. I live in Seattle area, work at one of these big companies, I work with people in India almost every day and have been to India three times on business. When parts of my department's work was allocated to a new team in India, of course I was nervous about that.
I get the fear, but look at it from the investor's perspective. The US market is tapped out, Amazon is already everywhere it can be.
Amazon isn't expanding in India out of love for the country or a desire to see it grow. They are doing it because Wall Street demands infinite growth every single year. Amazon India went from zero to a market leader in a decade not because of charity, but because that is where the new money is.
To keep the valuation climbing (which sustains everyone's RSUs), they have to capture these emerging markets. If they don't, the stock stagnates, and the compensation model for US tech workers falls apart.
They can capture the market without moving the workforce there. Meta/Instagram/WA have dominated Indian market for a decade now.
It seems like this is pure labor arbitrage. Growth is gone so the only way to increase profits is by cutting costs, with labor force being the top line item.
>I get the fear, but look at it from the investor's perspective. The US market is tapped out, Amazon is already everywhere it can be.
Heaven forbid we forget about the investors, and don't forget about the executive compensation!
I mean, seriously, is there no such thing as balance? I'm not saying investors should be arbitrarily shorted, but on the same token it doesn't mean workers need to always take the brunt of the change, which is how it goes down 90% of the time.
If layoffs were seen as executive leadership failures first and foremost it would be a small step toward the right direction of accountability.
>To keep the valuation climbing (which sustains everyone's RSUs), they have to capture these emerging markets.
Fallacy that the stock must continue to rise to the detriment of the workforce that supposedly would benefit. Never minding that RSUs shouldn't be seen as a primary form of compensation to begin with, there is a myriad of things companies can do to maintain the valuation of employee RSUs, like bigger grants.
Secondly, you're assuming to capture these emerging markets, a layoff is a must. In reality, it likely is not. If you have a surplus of resources, deploying them effectively would be a net win, as you re-allocate these folks to higher priority projects and workstreams. The incentive structure that C-Suites have built up since the 1980s however don't align with that, because executive compensation is entirely based around juicing the numbers on a spreadsheet, as opposed to being rewarded for building sustainable businesses.
>If they don't, the stock stagnates, and the compensation model for US tech workers falls apart.
It doesn't, compensation is more broad than RSUs, and could be adjusted in kind. This is a solved problem.
True. This is Globalism at work. If these companies were not selling goods and services globally then they wouldn't have to deal with setting up offices, staff, pressure from local politicians to hire locals around the world.
Companies hiring more in cheap labor countries is quite obvious for long time. In case of Amazon I feel most of the stuff that was cutting edge 2 decades back is now low value work where cost is the only edge.
The parent comment is obviously cherry picking news and trying to push an agenda.
Uk investment: https://www.aboutamazon.co.uk/news/job-creation-and-investme...
Us investment: https://finance.yahoo.com/news/amazon-invest-50-billion-ai
And the original link about investment in India is also about fulfillment jobs and even worse, “investing in AI”, aka building data centers, which contribute essentially no jobs at all.
Amazon also employs 1.5 million people globally, 350k of which are in corporate. These 16k were corporate. Still sucks for everyone involved, I know a corporate sales guy who got laid off Microsoft and it disrupted his life pretty seriously. As Stalin says one's a tragedy, a millions a statistic.
Since the HN reaction to layoffs almost always is about blaming H1B, here’s a few more things the headline misses:
1. Cuts were global 2. Cuts in US also include H1B employees 3. 16000 roles are corporate roles, not just tech related, H1B program is not generally utilized for those roles 4. Expansion in India is not just tech. Amazon is a big retailer in India. Understandably if you’re seeing revenue growth in India, you will grow corporate presence in India. If Walmart becomes a massive retailer in EU, it will hire EU nationals in EU. That’s not shipping jobs to EU.
> 1. Cuts were global 2. Cuts in US also include H1B employees
Hell no, Amazon has been a top 10 filer of H1-B LCAs for decades. The only H1-Bs being laid off, if any, are the older ones (over 39) to be replaced with cheaper models https://www.youtube.com/watch?v=uS8LNhxJq9Q
Shouldn't we all want H1B rather than offshoring?
That keeps the facilities here, the local employment options here, the growth here, the tax base here...
We should want more smart people moving to this country. More business creation, more capital, more labor, more output.
Immigration is total economic growth for America, non zero-sum. Offshoring is not only economic loss, but second order loss: we lose the capacity over an extended time frame.
Many Software Engineers gone. At L6 and L7 level.
Details here: https://www.reddit.com/r/amazonemployees/
It not pattern matching, it’s literally two things happening at the same time… in a business… that strictly budgets everything…
It’s not a pattern it’s a plan.
Amazon is a big retailer in India, believe it or not, if you are a big online retailer in a country, you will have a big corporate presence in that country.
> if you are a big online retailer in a country, you will have a big corporate presence in that country.
Is that true? Could you think of some large retailers in other countries, like the United States, without a big corporate presence? What do you mean when you say "big"? 1,000 employees? 10,000? 100?
Ok let's try this another way:
if you are a big online retailer in a country, you will not have a big corporate presence in that country.
Now it's on you to think of an example to disprove me, certainly I'm not going to think an example to disprove myself.
Do you see the problem with this pattern? I could claim all sorts of things and then say, well sorry you have to go do all this work to refute my claims. Something claimed without evidence can be dismissed without evidence. But I really was asking whether that's true or not, because in my mind there are a number of large online retailers that operate in the United States for example, without a large corporate presence here.
As is the case with many mass layoffs. AI just makes a good reason to claim. It makes you look progressive to investors and it doesn't make you look bad to the public. If AI didn't exist it would be some other excuse to spin this as a positive for the company and not bad for the affected workers.
People may have forgotten what happened back in early 2000s. Outsourcing was all the rage, and people in the US were really concerned. And then it came the explosive growth of internet, of mobile, of cloud, of social network, and etc. And then discussion died or at least dwindled enough that we stopped paying attention.
It looks to me that massive outsource means that companies turn to focus on incremental improvements, which won't require rapid communication in the same location. Besides, the tech has been growing amazingly for decades, other countries have caught up and therefore have growing number of talent. It's a matter of time for them to own more R&D.
Outsourcing in the 90's/2000's failed because you didn't want to deskill engineers and reduce their scope, you wanted Jeff Dean building pagerank and building Google.
Outsourcing happens when the economy forces companies to cut costs. When innovations return substantial growth, most companies don't think much about the costs. We have a rough economy, bad tariff policy, a weakening dollar, and immigration policy that's reducing the overall US population (and with it, spend in the economy). All those factors push companies to need to cut costs
Where are you seeing “American” jobs? Amazon workers in India were laid off too.
There are similar stories about Amazon investing in American cities too. Cherry picking a story that Amazon is renovating their office in India is ingenuine.
It's even less expensive! Problem solved. Mr. President, we have successfully axed all H1B positions, as you have wished.
I guess we just need the other shoe to drop: punish companies that are based in the US and outsource to India. It’ll happen in time if this trend continues
Then the US companies will be outcompeted by more competitive companies located outside the US. Now the US lost the jobs and the workers' income tax and the corporate tax.
America cannot eternally capture a disproportionate share of global wealth, even with such rent seeking moves. It's unsustainable.
We had a golden age after WW2 when we were the only undamaged industrial economy but that age has ended.
If you want American companies to not outsource any jobs AND have full foreign market access, get ready to get market access revoked from places like India. They’ll just incentivize their local companies to compete, and Amazon has plenty of local competition there already.
Amazon themselves have experienced in the past how heavy-handed Indian regulators can be.
It’s not a zero-sum game anymore. You cannot have only one side (US companies) capture 100% of the value.
Amazon has contributed enough to the current administration that I doubt they will face any consequences. Maybe another round of shakedowns and more financial contributions, but they have figured out pretty quickly how to play the game and end up on the good side of the current administration.
> [p]unish companies that are based in the US and outsource to India. It’ll happen in time if this trend continues
They ain't doing squat.
The Trump admin is encouraging technology transfer to India as part of Pax Silica [0] and GOP politicans in Ag heavy Purple States like Iowa [1] and Montana [2] are trying to mollify India after China pivoted from American to Brazilian soybeans [3] and India began tariffing pulses/lentils [4].
Additonally, Indian ONG majors like Reliance are negotiating with the Trump admin to purchase Venezuelan oil now that Maduro is in custody [5] and India SOEs have starting creating partnerships with ExxonMobil [6], Chevron [7], and Phillips66 [7] to "drill baby drill".
As such, what are you going to do lol - Agriculture and Ag adjacent industries employs 22 million Americans [8] and the Energy sector employs 7 million Americans [9] mostly in Red and Purple states. Software only employs around 2 million Americans [10] in either Blue states or Blue pockets of Red States.
[0] - https://x.com/USAmbIndia/status/2010718052992618815
[1] - https://governor.iowa.gov/press-release/2025-09-07/gov-reyno...
[2] - https://www.daines.senate.gov/2026/01/20/daines-travels-to-i...
[3] - https://www.reuters.com/world/china/china-favour-brazilian-s...
[4] - https://www.cramer.senate.gov/news/press-releases/cramer-dai...
[5] - https://www.reuters.com/business/energy/indias-reliance-talk...
[6] - https://www.livemint.com/companies/ongc-exxonmobil-collabora...
[7] - https://www.reuters.com/business/energy/chevron-phillips-66-...
[8] - https://www.ers.usda.gov/data-products/chart-gallery/chart-d...
[9] - https://usafacts.org/articles/renewable-energy-jobs-grew-in-...
[10] - https://www.bls.gov/ooh/computer-and-information-technology/...
Just Walk Out was actually 1000 people in India. https://www.businessinsider.com/amazons-just-walk-out-actual...
This is a nicer way to say to say layoffs/outsourcing while being rewarded by the market for "adopting AI".
For who does not know, in tech Amazon has always been the biggest H1B shop.
https://www.forbes.com/sites/stuartanderson/2025/11/17/top-u...
I wonder how this is also related to the attacks on the H1B visa.
I'm not american, but it seems to me there are enough american job seekers in CS to justify not needing H1B.
I'm not sure anyway what is the relationship between the potential difficulty of hiring new folks, and firing current folks in USA to offshore roles, are relates.
> it seems to me there are enough american job seekers in CS to justify not needing H1B.
Anecdotal so hold on to your salt but in my social circle here in the US natural-born US citizens vs visa-holders self-select for types of jobs. For example, if my the starting pay is < $80k most of my natural-born American friends don't bother applying. Whereas, my visa-holding friends routinely go well below $50k when searching for jobs or "2 year internships". So, when a company posts a certain type of a job they have a certain demographic in mind already.
Not saying my US friends are uppity as much as visa holders are desperate.
> I suppose that is "in the tech field" too, as non-tech people would be happy with an $80K job where a lot are under $50K
Indeed. The median salary in America for full time employment is a little over $63K.
Edit: if the message from H1B folk earning $300k+ to voters who earn $63k on average[1] is "You need our superior intellects, you uneducated rubes", then its unlikely to be well-received, especially at a time when blaming foreigners is in vogue.
1. Or a laid-off American tech worker
you see the reason h1b is so popular with the c-suite in a lot of cases is that you get absolute loyalty to a company that holds all the power of your being allowed to stay in the us. you lose the h1b job and you have limited time to find a new valid employer to sponsor you or else you go back to your country. it's one of the reasons musk loves it for twitter.
H1B transfers are easy. You aren't beholden to an employer.
The "problem" is that you have to compensate natives better / treatment.
Just look at the open roles for these companies, all India. They're not hiding it. Don't even need H1B.
There's not a surplus of American developers that can pass interview loops at top tech employers.
The domestic talent exists, and companies can leverage it or be punished financially for attempting to “contain labor costs” through leveraging visa workers.
Then why all the layoffs? You don't fire people you've got a shortage of.
Ok, then hire them on an O-1 visa. H1B is the problem as it creates a indentured servitude class that is going to work for less.
> there are enough american job seekers in CS
To be blunt: Not enough qualified ones. Look at the names of all the top AI papers of the past 3 years, not too many are American.
When you get bullied in American public schools for being a "nerd" and liking science and math, your country doesn't exactly produce a lot of state-of-the-art STEM professionals. You get a small handful of exceptional people who overcame the adversity but that's it.
The top 0.1% are perhaps mostly American-educated. The top 10% on the other hand are mostly not American. And you need the top 10% to code for the top 0.1%.
Producing AI papers isn't the job requirement for 99.9% of STEM jobs.
I won't talk about other fields, but American devs (regardless of race) tend to be much more passionate about computer science and (perhaps as a result) tend to be much better at their job than those from the big-name outsourcing countries.
I was tasked with finding an Indian hire a while ago. I lost count of exactly how many people I had to interview. (I spent a huge portion of my time for over a year doing interviews). We were looking for a senior developer, but settled for at most an intermediate developer. We swapped between multiple top-rated Indian recruiting firms, gave automated tests, had their interviewers ask pre-screening questions, but nothing helped improve candidate quality in any real way. I caught more people than I could count cheating answers on technical interviews (probably how they got past the screeners). We didn't even look at anyone without at least 10 years of "experience", but less than 10% of candidates could write basic fizzbuzz (and some of them accidentally showed that they were using GPT to try to code what we wanted because they didn't have a clue).
It may be an anecdote, but the sample size was quite large and we are a F500 company with the ability to attract talent, so I think its likely that we were attracting better-than-average candidates too.
EDIT: I'd add that it's not just my team. I've sat as an observer for a lot of other hiring interviews and they had the same problem. Across our company, we've had massive turnover in our outsourced India centers because the people they hired did such poor work.
> When you get bullied in American public schools for being a "nerd" and liking science and math, your country doesn't exactly produce a lot of state-of-the-art STEM professionals.
Its worse than that. when I lived in america, I found that being a software engineer was a dealbreaker when it came to dating most women. Imagine my surprise going to other countries and finding that my chosen profession made me high value proposition to most women.
> Look at the names of all the top AI papers of the past 3 years, not too many are American.
There are plenty of Americans who don’t have a European names.
> When you get bullied in American public schools for being a "nerd" and liking science and math, your country doesn't exactly produce a lot of state-of-the-art STEM professionals. You get a small handful of exceptional people who overcame the adversity but that's it.
Is bullying nerds still happening? It was commonplace when I was young in the 1980s. (In fact, it was so common that it was the basis of the 1984 movie Revenge of the Nerds.) But I had thought the social status of nerds and geeks had leveled up a few times since then. Did the level-ups not happen?
Sorry man, American raised autists beat chinese 996 every day of the week. shrug.
I mean that in the cultural sense, not racially. ABC autists are S tier too.
I’m not sure why you’re getting downvoted. The most important paper in the AI era was written by a team of immigrants.
Because it's an attack on 'american culture', I'm not even sure if nerds get bullied that much in school anymore.
Often "nerds" are the ones bullying, i say "nerds" because the people getting good grades and into great universities, the ones getting into tech, are often just strivers instead of nerds.
"Real nerds" are a tiny minority of people in any country and I doubt they account for most immigrants in the US, it's mostly just upper middle class strivers I've noticed.
> there are enough american job seekers in CS to justify not needing H1B.
As an interviewer in a big tech company, it seems all candidates I interview are foreigners who often graduated in the US. Either the company discriminates (which I really doubt it does), or there aren't enough qualified Americans for some jobs. And even if there are, the largest pool of candidates, the better.
Big tech companies are biased to sourcing from big name universities that have a lot of foreign students, and big tech companies were much more likely to go through the effort of H1B than smaller companies. As such your candidate pool is more heavily skewed than elsewhere.
1) There's a very reasonable chance the company discriminates. Sorry, but once bitten, twice shy. One company gets caught at it and the whole industry develops a reputation.
2) If you've got a problem finding candidates, there's 16,000 more on the market now. Congratulations!
3) If you think there must be something wrong with those 16,000, well, that would explain where your pipeline is going wrong.
It's really easy to see that big tech is interviewing only people who passed an initial filter which at this point is AI based. They're clearly filtering for some characteristics they want in a candidate, and most probably the filter is giving you the people you mentioned.
"foreigners who often graduated in the US"
This is still the case in US Comp Sci programs. There are some Americans in these programs but it's mostly Indian and Chinese. The American kids gravitate to the business schools.
The company itself might not discriminate as a policy, but some hiring managers certainly have their preferences. Or exclusively pull talent from their overseas cousin's brother's spouse's college roommate's consulting firm that is most certainly not a grift.
Nothing to do with it, just following a trend before the attacks: https://finance.yahoo.com/news/microsoft-nadella-pledges-3-b...
There haven't been any meaningful attacks on H1b visa. When running for office, Trump said very clearly that H1b was good for his companies (saving money), but bad for the American people.
Today, he's claiming that we need H1b because we don't know how to build computer chips (~75% come from India with zero advanced production and another ~12% come from China which is also far behind).
His "massive" $100k increase over 7 years is just a bit over $14k/yr. I had a former H1b programmer (now legal immigrant) I worked with tell me about his experience. Getting paid less than $40k to live in Austin, TX and living with a half-dozen other H1b indenured servants/slaves in a tiny shared apartment just so they could survive the 7 years and get on the path to citizenship.
Do you think those companies would bat an eye about increasing their expenses from $40k to $54k per year when median dev salary back then (2015) was around $92k/yr? After a decade of inflation, that $14k is even less important.
Over-immigration with H2b and illegal immigration suppresses blue-collar wages (Bernie Sanders famously called open borders a "Koch brothers proposal"). H1b and outsourcing to India centers suppresses white-collar wages.
Do you see prices dropping as they cut worker salaries and outsource? Can you even buy things when you don't have a job?
Trump (and the rest of the uniparty) has enabled corporate theft on a scale that's never been seen before and the chickens are going to be coming home to roost really soon.
Maybe they wanted to live together to save money (remember, the rest of their family isn't in the US), but that is irrelevant to the fact that they were paid way less than half the going rate in that city (I remember his stated salary being a little over $30k, so I errored on the high side). We were pretty close and when he told me the story, there wasn't any reason for him to lie. Who am I to say his experience isn't real?
Once again the mask of "AI" is really just human labor underneath.
I've personally seen founders raise millions of dollars because of "AI" that is really just manual labor. I know, I wrote the code that enabled the manual laborers. This was like 10 years ago; the lie is even easier to tell now. And that is so so important in an economy where gaining favor from those who already have money is far better than just selling a good or service.
I've sat on many meetings and gotten to trial many "AI products", and a good portion of them do have actual LLMs attempting to perform work. Though most of them are brittle wrappers of the big AI labs, with an aspirational markup.
The AI of today can do more, yes. But the path to funding and success doesn't require actual AI use, just the appearance of AI. No need to actually sell a good or service in a profitable manner. Just convince those with money that you have some secret-scaling-AI-sauce, and you'll be a success without ever having to sell an actual product.
The founder I mentioned earlier sold the company and thanked us all for the amazing journey, and then started his next thing in his multi-million dollar house. All built on a lie that made the company look good.
This is and always has been an eventuality. It's like fighting inertia or gravity to think otherwise. When the pay disparity is so massive, what is the incentive to hire US talent?
I say that as an American that is concerned with our local economies and employment but that's not looking through rose colored glasses.
If a company is looking to offshore a function purely on the basis of cost differential, that’s a sure sign the company believes the function has been commoditized and is immune from competitive selection.
That’s a specific slice of the workforce, not all of it.
How small can that slice be though?
It’s only really needed on true blue ocean innovation and where the company has to find the skills where they exist. If that’s the US, then sure they’ll continue some small slice of employment here for those projects. But as you said, a majority of software is a commodity now (has been for a long time, really). I don't feel like many companies are doing much innovative anymore and I feel people severely underestimate the talent present in other countries. So, even if you pointed to 10 innovation projects at Amazon then I could counter by saying even 85% of those teams could be in India.
AWS accounts for more than 50% of Amazon net profit though
Maybe the support scammers can get some real jobs as prompt engineers? Hey I'm trying to find some upside around all this.
> Hey I'm trying to find some upside around all this.
More AWS outages means more breaks from work?
Sorry, VP says we're migrating. What? Will they see it through? Of course not!
I realize it’s easy to pattern-match this news to 'hiring in India vs. firing in US' given the current climate, but having worked at Amazon India for 4 years, I can tell you the cuts happen there too.
Amazon has a history of annual restructuring that hits every region. It isn't necessarily a direct relocation strategy so much as their standard operational churn. The 'efficiency' cuts are happening globally, India included.