Amazon.com Inc. is facing a space shortage for thousands of employees as they prepare to return to the office five days a week starting next month.
Employees in at least seven cities, including Austin, Dallas, and Phoenix, have been informed that their return dates will be delayed by up to four months, according to individuals familiar with the situation.
This delay adds another layer to Amazon’s contentious return-to-office (RTO) initiative, which has sparked dissatisfaction among employees. Many have expressed frustration over being required to return to the office full-time while other tech companies offer more flexible arrangements.
With more than 350,000 corporate employees globally—primarily based in the U.S.—Amazon has not disclosed how many workers are affected by the postponement. A spokesperson assured that most employees will have desks available starting January 2.
In Dallas, some employees were told they wouldn’t have sufficient office space to work five days a week until March or April. In Midtown Manhattan’s Lord & Taylor building, space for full-time office work might not be ready until May. Employees in Atlanta, Nashville, and Houston have also received notifications about delays in their office returns, as reported by Business Insider.
In September, CEO Andy Jassy announced the mandatory return to full-time office work, citing the need to reinforce company culture. However, some employees believe the policy may be aimed at reducing headcount without layoffs or severance, an accusation Amazon denies.
Over the past few years, employees have demonstrated their ability to work effectively from home. The delay in implementing the RTO plan has been met with relief by some, further underscoring the policy's unpopularity.
For over a year, most employees have been required to work in the office three days a week, with exceptions for specific teams and fully remote roles. However, Amazon has struggled to provide adequate office space even for this hybrid model. In Bellevue, Washington—where much of Amazon’s headquarters growth has been concentrated—the company didn’t have enough seating for the initial RTO plan.
Employees have reported ongoing challenges with the three-day office policy, including shared desks, overcrowded cafeterias, and a shortage of meeting rooms for confidential calls or team discussions. Amazon has attempted to address some of these issues by enhancing its room reservation tool, but space constraints persist.
