What: Amazon plans to lay off as many as 10,000 employees with a focus on its retail operations, human resources and device divisions.

Why it is important: Following Amazon’s announcement to halt company-wide hiring, the company now looks to lay off around 10,000 employees as it faces a potentially unprofitable year due to economic uncertainty.

According to a Times report, the scope of layoffs only represents 3% of its corporate workforce and less than 1% of Amazon’s global workforce. The focus on retail is unsurprising considering that its primary revenue growth drivers are advertising, subscriptions, logistics and cloud services.

Amazon plans 10k layoffs focused on retail