Amazon Singapore announced on Thursday (May 7) that it will phase out its local fulfilment services, including the Amazon Fresh grocery delivery service, and stop working with third-party sellers on Amazon.sg. The decision will result in a reduction of less than 10% of its workforce, the company said.
The move affects roles in the Singapore operations, including those related to the Fresh delivery service and the local seller program. Affected employees will be offered severance packages and support to find new roles, according to an Amazon spokesperson.
Amazon said it will continue to operate its cloud computing arm, Amazon Web Services (AWS), and its global cross-border e-commerce business from Singapore. The company also plans to maintain its physical offices and other services in the city-state.
The changes come as Amazon reviews its operations globally to focus on more profitable areas. The company did not disclose the exact number of employees affected but confirmed the cuts are less than 10% of its Singapore workforce.