Amazon has issued a directive for its corporate workforce to attend the office premises every weekday, as revealed in a memo from CEO Andy Jassy. This decision represents a notable departure from the previous policy, which mandated employees to be physically present in the office at least three days a week. The new requirement is set to be enforced starting January 2, giving employees a deadline to adjust to the revised terms.
Jassy emphasized that corporate staff are expected to be present in the office for the entire workweek barring any exceptional circumstances, or if they receive special approval from their division’s S-team leader – a select group of executives reporting directly to Amazon’s CEO. “Prior to the pandemic, the option for remote work two days a week was not guaranteed, and this principle will persist moving forward. Our anticipation is that employees will be onsite unless faced with extenuating conditions,” Jassy stated.
In an effort to streamline its organizational setup, Amazon plans to reduce the number of managers to facilitate a more efficient system by “eliminating layers and flattening hierarchies,” as mentioned by Jassy. Each S-team unit is tasked with boosting the ratio of individual contributors to supervisors by at least 15% by the conclusion of the first quarter in 2025. Individual contributors are staff members who typically do not oversee other employees.
While the impact of this structural modification on managerial roles remains uncertain, an Amazon spokesperson declined to offer immediate comment on the matter
Andy Jassy communicated to employees through an extensive message outlining that the adjustments are aimed at reinforcing the company’s corporate ethos and maintaining its adaptability. He underscored this point by introducing a designated “bureaucracy mailbox” – an email alias intended to identify and eliminate unnecessary processes or excessive regulations within the organization.
Amazon stocks experienced a decline during afternoon trading.
*Excerpts from correspondence by Andy Jassy:*
Jassy expressed satisfaction with the collective progress made within Amazon across various sectors like Stores, AWS, and Advertising, signaling continuous growth. He also acknowledged the evolving landscape of new investment areas and initiatives, affirming the resilience of the workforce amidst ongoing endeavors to enhance cost structures and operational margins.
The missive highlighted the significance of Amazon’s distinctive culture as a driving force behind its achievements over nearly three decades. Jassy stressed the company’s aspiration to function as a dynamic startup, fostering innovation, prompt decision-making, resourcefulness, collaborative spirit, and mutual commitment among teams.
In reflection on the company’s organizational structure, Jassy acknowledged the need for optimal configurations that encourage ownership and agility. The plan involves reducing the proportion of managers in favor of more individual contributors to enhance operational efficiency and decision-making capabilities at various levels.
This strategic shift aims to reinforce the foundational principles of Amazon’s culture, emphasizing the value of collaborative efforts and shared dedication to customer-centric innovation. Jassy’s communication emphasized the company’s commitment to continuous improvement and cultural preservation as key drivers of long-term success.
Andy concluded his address by expressing confidence in the proposed adjustments to elevate performance, foster innovation, and fortify Amazon’s culture while optimizing operational effectiveness across all facets of the organization.
*Source:* [CNBC – Amazon’s Updated Office Attendance Policy](https://www.cnbc.com/2024/09/16/amazon-jassy-tells-employees-to-return-to-office-five-days-a-week.html)
