Amazon, which booked net losses in Q1 and Q2 totaling nearly $6 billion and whose shares are down 38% from their high in July last year, is undertaking large-scale efforts to cut costs – including commercial real estate costs. It is closing or cancelling 44 warehouses across the US; it’s halting construction on six office towers, and won’t start construction on a seventh. And now it emerges that it plans to close four of its five call centers in the US and switch those customer service representatives to working from home.
Amazon currently operates five call centers in the US. Kennewick, WA; Lexington, KY; Phoenix, AZ; Huntington, WV; and Houston, TX. It plans to close four of them. Either the Houston or the Huntington facility will likely remain open, according to Bloomberg, citing a source.
In July, it emerged that Amazon was halting construction on five office towers, and will not even start construction on a sixth tower, all of them in downtown Bellevue, Washington. Amazon also halted construction on its office tower in Nashville, Tennessee, where it already has a tower. And it slashed the amount of office space it had planned on leasing at Hudson Yards, in Manhattan, where it has been leasing space since 2019, and this would be for additional space.
In late June, it emerged that Amazon has delayed or cancelled plans for 13 warehouses around the country. It more recently emerged that Amazon in fact has closed or cancelled 44 warehouse facilities and delayed the opening of 25 additional facilities.Amazon to Close 4 of its 5 US Call Centers, Shifts to Work-from-Home, after Closing 44 Warehouses, Halting Construction on 7 Office Towers | Wolf Street