Amazon has announced a major shift in its workplace policy, requiring many employees to return to the office full-time, five days a week, beginning January 2, 2025.
The decision, communicated by CEO Andy Jassy, marks the company’s latest adjustment to its in-person and remote work arrangements.
Jassy explained that the move is aimed at fostering a stronger company culture and improving collaboration, engagement, and innovation.
“When we look back over the last five years, we continue to believe that the advantages of being together in the office are significant,” he said.
Jassy also cited benefits like enhanced teamwork, training, and faster decision-making.
The announcement comes after Amazon had previously mandated three days of in-office work starting in May 2023. However, Jassy now believes that a full-time, in-person schedule will better position the company to deliver “the absolute best for customers and the business.”
In addition to the return-to-office policy, Amazon is also restructuring its organization. Jassy revealed that by the end of the first quarter of 2025, each senior leadership team will be required to increase the proportion of individual contributors by 15%, aiming to reduce layers of management and streamline decision-making processes.
Despite the company’s emphasis on the benefits of in-office work, Jassy acknowledged that employees could still work remotely under certain circumstances, such as illness or business travel. Amazon’s headquarters in Seattle, Washington, and Arlington, Virginia, along with other offices around the world, will also see changes, including the return of assigned desk arrangements in some locations.
The shift has prompted mixed reactions, with some employees expressing concerns about the impact on their personal lives, particularly after years of remote and hybrid work during the pandemic. Last year, over 30,000 Amazon employees joined a petition against the three-day office mandate, and further pushback is expected as the five-day policy is implemented.
The company’s decision also aligns with broader trends in the workplace, as many major employers are reconsidering the balance between remote and in-office work. Amazon, one of the largest employers in the US, had a market capitalization of $1.94 trillion as of Monday. The company has reported $291.29 billion in total net sales during the first half of 2023, with a net income of $23.92 billion.
FOX Business, Axios, Fortune, Amazon contributed to this report.
