Amazon to Shut Down Machine Learning Division in Romania, Impacting 400 Employees

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Image credit: Amazon

Amazon has announced its decision to close its Machine Learning division in Romania (AGI Data Services), affecting approximately 400 employees.

The layoffs are expected to take effect starting January 1, 2025. The move comes as part of the company’s broader operational adjustments.

Employee Compensation Negotiations Underway

Negotiations are currently ongoing regarding the severance packages to be provided to the affected employees. While the company has stated its commitment to supporting those impacted by the decision, employees are advocating for enhanced compensatory measures, including multiple months’ worth of salaries. This is particularly significant given the absence of specific provisions for layoffs in the current collective labor agreement.

Amazon’s Official Statement

Amazon representatives have confirmed the closure in an official statement:
“Following careful consideration, we have announced that we are exploring the option to close our AGI Data Services operations in Romania. We’ve already informed employees whose roles might be impacted, and we’re committed to supporting them through the transition.”

Broader Implications

The closure marks a significant shift for Amazon’s operations in Romania, which has been a key hub for advanced technological solutions. The impact of this decision extends beyond the affected employees, potentially influencing the local tech ecosystem and job market.

Local tech professionals and policymakers are closely monitoring the situation, as it raises questions about job security in the sector and the importance of robust collective agreements to safeguard employee rights.

Further updates are expected.

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