Amazon Accused of Employing a 'Hire-to-Fire' Policy to Meet Annual 'Unregretted Attrition' Goals: Report

People who claim to be working with Amazon have been speaking about the company's alleged "Hire-to-Fire" policy on public forums.

Advertisement
By Edited by Gadgets 360 Newsdesk | Updated: 14 May 2021 16:04 IST
Highlights
  • Amazon managers say they are pressured into meeting attrition goals
  • They say they are forced to hire new employees only to fire them
  • They say it helps them protect their existing teams

Amazon says it does not use the phrase "hire-to-fire".

Photo Credit: Reuters

Amazon has been accused of hiring employees only to let them go within a year. According to a  recent report, several managers working with the e-commerce giant have said that they have to do this to meet their internal turnover goals. The controversial practice is reportedly called “hire-to-fire" internally. Three managers at Amazon have reportedly said that they faced so much pressure to meet the annual goal, known as unregretted attrition (URA), that they simply hired employees to fire them so that they could protect the rest of the team.

The existence of the practice in some units of the company, as outlined in the report by Business Insider, has the potential of fuelling controversial norms and practices. As per internal documents that the publication said it had obtained, even the most senior Amazon executives, including incoming CEO Andy Jassy, closely track their URA goals. The publication quoted the example of the Amazon Web Services teams that fell short of URA goals in 2020 and were required to make up the difference in 2021, as per a company memo it accessed. However, in a statement to the publication, Amazon's spokesperson denied the company hires employees with the intention of firing them. The spokesperson also said Amazon does not use the phrase “hire-to-fire”.

Advertisement

Since the report was published, Amazon employees have started speaking about the practice on online forums. On Y Combinator's Hacker News forum, a person with the username “throwawaySlu”, who claimed to be working as a principal software development engineer at Amazon, said the company's weakest link was its managers. Competent software development managers (SDMs) are “far and few”, the person added, explaining in detail how many SDMs lacked technical depth and how capable engineers “are thrown under the bus” because of incompetent managers.

Another user, vanusa, thanked the person who spoke about the issues at Amazon and said, “Thanks, seriously, for sharing. Just hope you don't get, uh, ‘found out' by the wrong SDM".

Advertisement

A third user, tamzn, said, “I'm an SDM and I do agree that there is a lot of scope for messing up people's careers at this level, whether through incompetence or malice".

A fourth user called etempleton said that these kinds of issues lead to “hostile and manipulative work environments”, and added that “it may get short-term results, but in the long-term it creates horrible company cultures”.

Advertisement

Even on Reddit there was a discussion on the topic, “Some Amazon managers say they ‘hire to fire' people just to meet the internal turnover goal every year.”

A user, kabdib, said that a similar thing happened at “Microsoft during the Ballmer (former CEO) reign as well, where a team would hire ‘ten percenters' and then fire them to protect the ‘real' team”.

Advertisement

Another user, luv2fit, said that this culture stems from the belief that “you should continually trim the bottom 10 per cent of your force every year and bring in new talent”. The user went on to add that though this works well for a couple of years “after that you start cutting valuable subject matter experts”.

Talking about a manager at a tech company teaching “the ropes of putting a team together”, AwareParking said, “My manager casually told me the last spot was for the person we were going to hire then fire".


Are AmazonBasics TVs Good Enough to Beat Mi TVs in India? We discussed this on Orbital, the Gadgets 360 podcast. Orbital is available on Apple Podcasts, Google Podcasts, Spotify, and wherever you get your podcasts.

Affiliate links may be automatically generated - see our ethics statement for details.
 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement
Popular Mobile Brands
  1. Xiaomi Power Bank 20000mAh 165W to Launch in India On This Day
  2. These Flagship Oppo Find X10 Series Phones Could Launch Soon in India
  3. iPhone 18 Pro Max Roundup: Everything We Know Ahead of Launch
  4. iPhone 18 Pro Roundup: Expected Price, Launch Date, Features and More
  5. Samsung Galaxy A27 Review
  6. Tecno Pova 8 Pro 5G Tonino Lamborghini Limited Edition Unveiled
  7. Pixel Watch 5 Stephen Curry Special Edition Now on Sale: Price, Features
  1. IFA 2026: Lenovo Unveiled New IdeaPad, Yoga and ThinkBook Laptops
  2. IFA 2026: Nvidia RTX Spark PCs, Local AI Tools Announced With October Launch Planned
  3. WhatsApp Reportedly Rolling Out Third-Party AI Agent Chats to Android Users
  4. Luna Band Now Available Globally: Check Price in India, Specifications and Features
  5. Pocket Bitcoin Data Breach Exposes Personal and Financial Information of 5,411 Customers
  6. Google Pixel Watch 5 Stephen Curry Special Edition Goes on Sale: Price, Features and More
  7. IFA 2026: Noise Master Buds Open With Sound by Bose Technology Unveiled
  8. Binance Warns of Phishing Scam Targeting Crypto Users With Fake Account Security Alerts
  9. Oppo Find X10 Pro Max, Find X10 India Launch Seems Imminent as Phones Appear on Certification Site
  10. Xiaomi Smart Band 11 Active Launched With Up to 21 Days of Battery Life; Smart Band 11 Price, Features Revealed
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.