Recently Amazon has been cutting costs and cutting staff. Now CEO Andrew Jassy is having his 2022 pay cut from $212 million per year to $1.3 million.
Andrew Jassy became CEO of Amazon in 2021 and is already earning less than Amazon founder Jeff Bezos, who is now the executive chair. There is no word on if Jeff Bezos will take a pay cut, but his pay was already cut after he stepped down as CEO to $1.6 million.
Andrew Jassy’s pay includes a salary of $317,500 and benefits that come to $981,000 according to CBS News.
Amazon, like most e-commerce sites, are having a bit of a hangover from the 2020 online boom. Now that most Americans are starting to go back to stores, online sales have seen their growth slow far faster than expected. Many companies that are staffed up in order to meet a surge of online orders are finding themselves with high costs they can not support.
Amazon ended 2022 with a 9% increase in net sales to $149.2 billion. Amazon saw its operating income drop to $2.7 from $3.5 billion in the fourth quarter of 2021. Now Amazon expects sales to continue to fall to between $121.0 billion and $126.0 billion in 2023.
Amazon is expected to report 1st quarter 2023 earnings at the end of April 2023.