- Amazon will cut 660 jobs in Manhattan as part of a broader 14K-employee global layoff, according to state WARN notices.
- The two hardest-hit offices include Brookfield’s 5 Manhattan West (233 jobs cut) and Amazon’s NYC HQ at 424 Fifth Ave. (182 jobs cut).
- The layoffs follow years of aggressive NYC expansion, including Amazon’s 2020 purchase of the former Lord & Taylor building and recent acquisition of 522 Fifth Ave.
- Despite the cuts, Amazon has continued leasing and buying office space, raising questions about its long-term real estate strategy.
Manhattan Not Spared
Amazon’s New York expansion hasn’t shielded it from global restructuring. In WARN notices filed with the New York State Department of Labor, the company said it plans to cut 660 Manhattan-based corporate jobs in January, reports CoStar.
That includes 233 employees at 5 Manhattan West, a Brookfield-owned office in Hudson Yards. Another 182 employees will be cut from Amazon’s flagship NYC headquarters at 424 Fifth Ave., formerly Lord & Taylor’s department store.
Still Expanding, Even While Downsizing
Amazon’s headcount in New York state exceeds 47K, though the company hasn’t disclosed how many of those are in NYC. While cutting jobs, Amazon has paradoxically continued real estate acquisitions and leases across Manhattan.
Earlier this year, Amazon acquired 522 Fifth Ave. and signed a major lease at 10 Bryant Park, the former HSBC headquarters. The company also maintains offices at other Manhattan addresses, including 410 10th Ave. (91 affected employees) and 7 W. 34th St. (58 affected), among others.
Get Smarter about what matters in CRE
Stay ahead of trends in commercial real estate with CRE Daily – the free newsletter delivering everything you need to start your day in just 5-minutes
Why It Matters
Despite office downsizing trends in tech, Amazon’s real estate footprint continues to grow. This contradiction—cutting staff while expanding space—suggests the company is betting on long-term office usage, possibly linked to its return-to-office policies.
The job cuts are part of a broader initiative to reduce corporate bureaucracy and streamline operations, according to the company. But the timing raises questions about how Amazon plans to balance workforce reductions with continued real estate investment.
What’s Next
With office markets in flux, especially in Manhattan, Amazon’s real estate activity will be closely watched. As hybrid work continues to evolve, more companies may follow Amazon’s path—downsizing headcount while positioning for a future return to full in-person operations.
