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Blue Origin, the aerospace company founded by Jeff Bezos, has decided to reduce its workforce by about 10%. This decision affects around 1,400 employees from a total of roughly 14,000. The announcement came during an all-hands meeting on the morning of February 13, 2025, where the company’s CEO, Dave Limp, outlined the strategy for streamlining operations.
The layoffs primarily target positions in engineering, research and development, and program/project management. Additionally, the company plans to thin out its layers of management to reduce bureaucracy and increase efficiency. This strategic shift follows a period of rapid expansion where Blue Origin significantly scaled its workforce in recent years.
The move to cut jobs comes just a month after Blue Origin successfully launched its flagship New Glenn rocket from Cape Canaveral Space Force Station. This launch was a significant milestone for the company, signaling the beginning of its efforts to ramp up rocket launches and fulfill substantial launch contracts.
The company’s focus in 2025 will be on scaling manufacturing output and increasing the frequency of rocket launches. The growth over the past few years has led to a level of bureaucracy that, according to the company, has diluted focus on core objectives. To address this, Blue Origin is realigning its resources to better match its priorities for the future.
This workforce reduction is not the first for Blue Origin. Previously, in 2023, a smaller number of layoffs occurred, particularly in areas like human resources and talent acquisition. However, this recent announcement represents a more significant restructuring effort as Blue Origin seeks to streamline its operations.
Blue Origin maintains an ambitious portfolio that includes space tourism, the development of a lunar lander, contributions to a space station, and supplying rocket engines. Despite the layoffs, the company continues to have big plans, including landing an uncrewed vehicle on the moon in 2025, and increasing the launch frequency of its New Glenn and New Shepard rockets.
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