Amazon, Microsoft Job Cuts Deal Another Blow to Ailing Seattle

America’s second-largest tech hub is already struggling to recover from the pandemic-era hollowing out of downtown.

Amazon’s Seattle headquarters.

Photographer: Chona Kasinger/Bloomberg
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Job cuts at Amazon.com Inc. and Microsoft Corp. are the latest blow for the Seattle region, which is still struggling to recover from a pandemic-era decimation of the commuter economy that, as in many cities, is the lifeblood of America’s second-largest tech hub.

The number of jobs lost—at least 28,000 globally between the two companies—may seem minor for a region that employs more than 2.1 million. But it’s a psychological blow that will make investors hesitant to start new projects and businesses even more reluctant to re-open or expand.