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Amazon CEO Refutes Claims That 5-Day Office Mandate Is a ‘Backdoor Layoff’!

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Amazon CEO Refutes Claims That 5-Day Office Mandate Is a Backdoor Layoff

Amazon CEO Andy Jassy addressed concerns about the company’s upcoming five-day office mandate during an all-hands meeting on November 5, denying that the policy is intended to force attrition or appease city officials. The new requirement, which will take effect on January 2, 2025, mandates that employees return to the office every day, up from the current three-day in-office requirement.

Employee Concerns and Backlash

Many employees have voiced frustration over the policy, citing concerns that it is stricter than the return-to-office mandates of other tech companies and will negatively impact productivity due to long commutes. Reports indicate that employees who do not comply with the mandate will be considered as “voluntarily resigning” and may be locked out of company systems.

Jassy’s Clarification

During the meeting, Jassy addressed rumors that the mandate was part of a cost-cutting strategy or a deal with city officials. He stated, “A number of people I’ve seen theorized that the reason we were doing this is, it’s a backdoor layoff, or we made some sort of deal with a city or cities. I can tell you both of those are not true.” He emphasized that the decision was not about saving costs but about strengthening Amazon’s corporate culture.

Rationale Behind the Mandate

The mandate is set to begin on January 2, 2025. Jassy explained that returning to the office full-time would allow Amazon to be “better set up to invent, collaborate and be connected enough to each other and our culture to deliver the absolute best for customers and the business.” This rationale has sparked pushback from employees who question its necessity.

Leadership Support and Employee Reactions

In October, Matt Garman, CEO of Amazon Web Services, suggested that employees who were not willing to return to the office could seek employment elsewhere. He claimed that the majority of employees he spoke with supported the new policy. However, this prompted a letter from more than 500 Amazon workers urging Garman to reconsider the mandate, highlighting concerns that it could disproportionately affect employees with families or medical challenges.

Commuter Support Initiatives

In response to employee feedback, Amazon assured workers that it would be offering commuter benefits and subsidized parking rates to help ease the transition. Jassy acknowledged the discomfort some employees may feel as they adjust to the new policy, saying, “It is an adjustment. I understand that for a lot of people, and we’re going to be working through that adjustment together.”

Internal Bureaucracy Reporting

During the meeting, Jassy also discussed the success of Amazon’s internal system for reporting excess bureaucracy. Out of approximately 500 emails submitted, the company took action on about 150 of them, although he did not provide specific details. Jassy reiterated his dislike for bureaucracy, stating, “One of the reasons I’m still at this company is because it’s not a political, bureaucratic place.”

Financial Context

Despite the controversy surrounding the return-to-office mandate, Amazon recently reported a record-breaking profit of $15.3 billion for the third quarter of 2024 and expressed optimism about a strong holiday quarter ahead. This financial success contrasts sharply with employee dissatisfaction regarding workplace policies.

Conclusion

As Amazon moves forward with its five-day in-office mandate, it faces significant pushback from its workforce. Jassy’s reassurances about corporate culture and operational efficiency may not quell employee concerns about productivity and work-life balance.

The upcoming changes reflect broader trends in corporate America as companies navigate post-pandemic work environments. With ongoing discussions about remote work flexibility and employee satisfaction becoming increasingly prominent across various industries, Amazon’s approach will likely serve as a case study for other organizations grappling with similar challenges in their return-to-office strategies.

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Piyush Anchliya Joins Cashfree Payments as CFO Amid Expansion in India’s Fintech Sector

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Cashfree Payment - StartupStories

Cashfree Payments has appointed Piyush Anchliya as its new Chief Financial Officer (CFO), effective April 15, 2025. Anchliya brings over 15 years of experience in investment banking, corporate finance, strategy, and mergers and acquisitions, with senior roles at Barclays, Bandhan Group, and most recently as CFO of Bandhan AMC. He holds an MBA from IIM Ahmedabad and a B.Tech. from IIT Kharagpur.

In his new role, Anchliya will lead Cashfree’s financial strategy, optimize operations, and support the company’s next growth phase. He will report to CEO and Co-founder Akash Sinha, who highlighted Anchliya’s expertise as vital for sustainable scaling and strengthening the company’s financial foundation. Anchliya succeeds outgoing CFO Vikas Guru, who will assist during the transition.

Founded in 2015, Cashfree Payments processes over $80 billion annually for more than 800,000 businesses. The company recently raised $53 million in funding led by KRAFTON and Apis Growth Fund II and secured key RBI licenses, positioning it for accelerated growth in India’s fintech sector. Anchliya’s appointment comes at a pivotal time as Cashfree aims to expand its leadership in digital payments.

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Flipkart’s Jeyandran Venugopal Likely to Join Reliance Retail as CEO

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Jeyandran Venugopal, the outgoing Chief Product and Technology Officer of Flipkart, is set to become the CEO of Reliance Retail Ventures (RRV), the retail arm of Reliance Industries. His appointment, expected to be finalized in May after his exit from Flipkart, signals Reliance’s push to strengthen its retail business with a technology-first approach.

Venugopal brings extensive experience from leading roles at Flipkart, Myntra, Yahoo, Snapdeal, and Amazon, where he focused on scaling technology platforms and driving innovation. At Flipkart, he managed product, engineering, data science, and more, helping build robust systems and improve user experience.

His move comes as Reliance Retail undergoes transformation, including cost-cutting and a renewed focus on digital growth. Venugopal’s leadership is expected to accelerate Reliance’s ambitions in omnichannel and tech-driven retail, positioning the company for continued dominance in India’s evolving market.

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Delhivery’s Acquisition of Ecom Express: A Major Consolidation in Indian Logistics

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Delhivery, one of India’s leading logistics companies, has announced its acquisition of Ecom Express in an all-cash deal valued at ₹1,407 crore. This strategic move marks one of the largest consolidations in the logistics sector and is expected to enhance Delhivery’s scale, profitability, and operational efficiency.

Background

Ecom Express, founded in 2012 and headquartered in Gurugram, has faced significant financial challenges recently. The company canceled its IPO plans in 2024 and laid off hundreds of employees due to operational setbacks, including losing a major client, Meesho, which shifted to its in-house logistics service Valmo. These struggles led to a distressed sale, with private equity investors like Warburg Pincus and Partners Group exiting their stakes entirely.

Strategic Benefits for Delhivery

  1. Enhanced Scale: The acquisition will strengthen Delhivery’s network reach and infrastructure, enabling better service delivery across India.
  2. Operational Synergies: Combining operations with Ecom Express will improve efficiency and reduce costs through economies of scale.
  3. Competitive Edge: With Ecom Express as a subsidiary, Delhivery solidifies its leadership position in the logistics space by offering broader coverage and faster services.

Challenges Addressed

The acquisition mitigates risks from Ecom Express’ financial struggles while addressing past disputes between the two companies over inflated shipment volumes reported by Ecom Express during IPO filings.

Future Outlook

The deal is expected to close within six months after regulatory approval from the Competition Commission of India (CCI). Post-acquisition, Ecom Express will operate as a subsidiary of Delhivery, unlocking new growth opportunities such as advanced logistics technology integration and expanded customer reach.

With ₹5,488 crore in cash reserves as of September 2024, Delhivery is well-positioned to finance this acquisition without compromising financial stability. This move underscores Delhivery’s commitment to innovation and efficiency in India’s rapidly evolving logistics landscape.

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