Amazon Layoffs: Your Rights and Severance Pay Explained

Amazon Canada (amazon.ca) is a wholly-owed subsidiary of Amazon.com, Inc. (Amazon), which is an American multinational technology company that offers a variety of services, including e-commerce, cloud computing (through Amazon Web Services), and digital streaming (i.e. Twitch).

Launched in 2002, the Canadian arm of the e-commerce giant employs a national workforce of more than 25,000 people, according to a news release on September 13, 2021.

Headquartered in Seattle, Washington, Amazon operates dozens of fulfillment centres across Canada and has offices in major Canadian cities, including Toronto and Vancouver.

Latest Amazon Layoff Update

Oct. 15, 2025: Amazon is reportedly planning to eliminate approximately 15% of its human resources division and trim other teams.

In Canada, non-unionized employees at the e-commerce giant are entitled to significant compensation (up to 24 months’ pay) when fired or let go. This includes salary, bonuses, commissions, and benefits.

📲 Use our Severance Pay Calculator to get a free estimate in seconds.

A wrongful dismissal occurs if Amazon terminates you without cause — or incorrectly “for cause” — and doesn’t provide the correct amount of severance pay.

📰 Layoffs in Canada – Live Tracker

Laid off at Amazon? 5 Key Steps

Don’t sign anything on the spot: Carefully review all documents, including your severance offer. Deadlines from employers aren’t legally binding.
Keep relevant documentation: Save any termination letters, severance offers, and employer communications.
Use the Severance Pay Calculator: This tool will help you determine whether you’re being offered the correct amount of compensation.
Contact an employment lawyer: The experienced team at Samfiru Tumarkin LLP will ensure you receive the severance pay you’re legally entitled to — not a dollar less.
Start searching for comparable employment: This helps mitigate income loss and shows good faith in your claim.

📺 WATCH: Layoff Rights Explained

Amazon Layoff History

Amazon has announced several layoffs over recent years due to recessions, downsizing, restructuring, cost-cutting measures, and shifts in operational focus.

Below is a timeline of recent layoffs:

Oct. 2025: Amazon is reportedly planning to scale back the size of its human resources division by approximately 15%.
Aug. 2025: Amazon is cutting approximately 110 Wondery jobs as it restructures its audio unit.
June 2025: Amazon is expecting its corporate workforce to shrink in the coming years as it adopts more AI tools and agents.
May 2025: Amazon has laid off about 100 employees in its Devices & Services division, impacting teams behind Alexa, Echo, and Zoox.
March 2025: Amazon is reportedly planning to eliminate around 14,000 managerial positions as its cost-cutting push intensifies.
Jan. 2025: Amazon is slashing dozens of jobs in its communications and sustainability departments.
Oct. 2024: A recent report claims that Amazon could save billions if it trims its managerial workforce.
Feb. 2024: Amazon has reportedly eliminated hundreds of jobs across its Pharmacy and One Medical divisions.
Jan. 2024: Amazon is cutting less than five per cent of its “Buy with Prime” unit in a bid to cut costs.
Jan. 2024: Amazon is reportedly eliminating “several hundred roles” in its Prime Video and MGM Studios division.
Nov. 2023: Amazon is cutting “several hundred roles” in its Alexa division as it focuses on generative AI.
Nov. 2023: Amazon has eliminated approximately 180 jobs in its gaming division as part of a broader restructuring.
Nov. 2023: Amazon is reportedly laying off an undisclosed number of employees in its Music division.
Oct. 2023: Amazon’s communications division has cut staff by 5%.
July 2023: Amazon has reportedly eliminated approximately 80 jobs in its pharmacy division.
March 2023: Amazon confirmed that it’s laying off around 9,000 employees as the e-commerce giant continues to streamline its operations.
Jan. 2023: Amazon announced that it is trimming more than 18,000 jobs as it grapples with challenging economic conditions.
Nov. 2022: Amazon is reportedly planning to lay off approximately 10,000 employees, or less than one per cent of the company’s global workforce.
June 2019: Amazon is laying off dozens of game developers as part of a restructuring.
Feb. 2018: Amazon confirmed to multiple news outlets that it’s eliminating hundreds of jobs in mature areas of its business.
March 2017: Amazon is reportedly planning on cutting 263 jobs at its Quidsi business as part of a restructuring.
Aug. 2016: Amazon is reportedly laying off dozens of engineers at Lab126 after disappointing results for the e-commerce giant’s Fire Phone.

FAQs About Severance & Termination

👉 Can My Employment Contract Limit My Severance?

Yes — but many contracts include unenforceable clauses. Always get it reviewed by Samfiru Tumarkin LLP.

👉 Are Temporary Layoffs Allowed?

Usually not. A temporary layoff may qualify as constructive dismissal if not contractually permitted.

👉 Do Contractors Qualify For Severance?

Yes, if your role resembled that of a full-time employee. Employees are often misclassified as independent contractors.

👉 How Long Do I Have to File a Claim?

Up to 2 years from your termination date.

Proven Results from Samfiru Tumarkin LLP

More than 99% of employment law matters are settled in the first few weeks or during mediation. However, when court is necessary, we have the expertise to deliver results — often with legal fees covered by the employer.

BMO Faces the Music

In Maticevic v. Bank of Montreal, a dedicated long-term employee found justice after being wrongfully dismissed. With Stephen LeMesurier, a lawyer at Samfiru Tumarkin LLP leading the charge, they secured a game-changing severance package.

Short Stint, Huge Statement

In Marques v. Delmar International, a high-level executive was shown the door after just 8 months — but didn’t leave empty-handed. Thanks to Samfiru Tumarkin LLP, they secured 4 months of severance, showing even short-term employees deserve big wins.

Significant Severance Secured for Short-Service Exec

In Perretta v. Rand A Technology Corporation, a sales professional refused to settle for less when her employer tried to tie severance to an unfair release. With Samfiru Tumarkin LLP on her side, she walked away with 6 months of severance — a bold win.

Lost Your Job? Get Help Now

If you’ve been fired or let go from Amazon for any reason, don’t sign anything until you speak with the experienced employment law team at Samfiru Tumarkin LLP.

Your employer might be asking you to accept a severance package that doesn’t take into consideration all of your entitlements.

🛡️ We Know Severance
Our employment lawyers in Ontario, Alberta, and British Columbia (BC) have helped many non-unionized employees understand their rights, challenge unfair severance packages, and get what the law truly says they’re owed.

👥 Over 50,000 clients helped across Canada
💰 Millions recovered in severance and compensation
⚖️ No win, no fee — you don’t pay unless we win*
⭐ 3,000 5-star Google reviews across Canada (4.7 average)
🏆 Recognized as one of Canada’s Best Law Firms by The Globe and Mail

* Conditions apply. Not all cases qualify.

📞 Call us at 1-855-821-5900 or request a consultation online.

⚠️ Unionized?
Contact your union immediately. By law, employment lawyers can’t represent unionized employees.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.

Amazon Layoffs in Canada: October 2025 Update + Severance Rights

Latest Amazon Layoff Update