AP NEWS

Amazon pauses construction on 2nd headquarters in Virginia

Mar 3, 2023, 10:33 AM | Updated: Sep 30, 2024, 10:16 am

Amazon is pausing construction of its second headquarters in Virginia following the shifting landscape of remote work.

The Seattle-based company is delaying the beginning of construction of PenPlace, the second phase of its headquarters development in Northern Virginia, said John Schoettler, Amazon’s real estate chief, in a statement. He said the company has already hired more than 8,000 employees and will welcome them to the Met Park campus, the first phase of development, when it opens this June.

Amazon employees return to the office beginning May 1

“We’re always evaluating space plans to make sure they fit our business needs and to create a great experience for employees, and since Met Park will have space to accommodate more than 14,000 employees, we’ve decided to shift the groundbreaking of PenPlace (the second phase of HQ2) out a bit,” Schoettler said.

He also emphasized the company remains “committed to Arlington” and the local region, which Amazon picked – along with New York City – to be the site of its new headquarters several years ago. More than 230 municipalities had initially competed to house the projects. New York won the competition by promising nearly $3 billion in tax breaks and grants, among other benefits, but opposition from local politicians, labor leaders and progressive activists led Amazon to scrap its plans there.

In February 2021, Amazon said it would build an eye-catching, 350-foot Helix tower to anchor the second phase of its redevelopment plans in Arlington. The new office towers were expected to welcome more than 25,000 workers when complete. Amazon spokesperson Zach Goldsztejn said those plans haven’t changed and the construction pause is not a result – or indicative of – the company’s latest job cuts, which affected 18,000 corporate employees.

The job cuts were part of a broader cost-cutting move to trim down its growing workforce amid more sluggish sales and fears of a potential recession. Meta, Salesforce and other tech companies — many of which had gone on hiring binges in the past few years — have also been trimming their workforce.

Amazon leaving Seattle’s West 8th tower after more than a decade

Amid the job cuts, Amazon has urged its employees to come back to the office. Last month, Amazon CEO Andy Jassy said the company would require corporate employees to return to the office at least three days a week, a shift from from the prior policy that allowed leaders to make the call on how their teams worked. The change, which will be effectively on May 1, has ignited some pushback from employees who say they prefer to work remotely.

Goldsztejn said the company is expecting to move forward with what he called pre-construction work on the construction in Virginia later this year, including applying for permits. He said final timing for the second phase of the project is still being determined. The company had previously said it planned to complete the project by 2025.

 

Please follow our Community Guidelines

Venus Williams, left, and Serena Williams, of the United States, look on as they play against Hao-C...

Associated Press

Venus and Serena Williams put on a show in thrilling U.S. Open return, in photos

NEW YORK (AP) — The Williams sisters returned to the U.S. Open doubles court, thrilling a packed Arthur Ashe Stadium crowd with a three-set battle that came down to the final points. Venus and Serena Williams fell to Hao-Ching Chan and Maya Joint in a dramatic tiebreaker.

2 hours ago

President Donald Trump speaks in the Oval Office of the White House, Thursday, Aug. 27, 2026, in Wa...

Associated Press

Trump’s first major midterm money move: A $10M Texas Senate ad blitz

BRIDGEWATER, New Jersey (AP) — The political group associated with President Donald Trump is spending $10 million on television and digital advertisements in the Texas Senate race, according to a Saturday filing with the Federal Election Commission. This is the first significant spending in a premier general election contest by MAGA, Inc., and reflects how […]

5 hours ago

Associated Press

Robin Morgan, feminist, poet and editor, dies at 85

NEW YORK (AP) — Robin Morgan, a wholesome child star of the 1940s and ‘50s who grew up to become an all-American radical as a poet, essayist, editor and second-wave feminist, has died. She was 85. Morgan’s death was confirmed Saturday by the Women’s Media Center, an organization she cofounded with Jane Fonda and the […]

5 hours ago

The John F. Kennedy Center for the Performing Arts, is seen, Wednesday, Sept. 2, 2026, in Washingto...

Associated Press

Kennedy Center renews call for Trump-backed shutdown after part of a ceiling collapses

WASHINGTON (AP) — A chunk of ceiling fell inside a main hallway of the Kennedy Center, according to a spokesperson who said the damage underscores the need to shut down the historic arts venue for renovations sought by President Donald Trump. No one was injured when a piece of the ceiling inside the Kennedy Center’s […]

5 hours ago

Associated Press

Cubans and Afghans deported from US arrive in Guyana

GEORGETOWN, Guyana (AP) — Guyana ’s government said Saturday it has received the first of six deportees from the United States under the Trump administration’s third-country deportation system. Guyana’s Foreign Secretary Robert Persaud said the six nationals of Cuba and Afghanistan arrived on Friday after being vetted by his administration and found to have no […]

7 hours ago

FILE - Hiring sign for sales professionals is displayed at a store, in Vernon Hills, Ill., Wednesda...

Associated Press

Trump keeps heralding an economic boom, but even a solid jobs report is causing problems for him

WASHINGTON (AP) — President Donald Trump has spent 20 months promising that America was on the cusp of an economic boom. But Friday’s surprisingly positive jobs report ultimately provoked frustration from Trump. The August job numbers might have been a welcome break from after months of sluggish hiring and concerns about inflation that have been […]

8 hours ago

Amazon pauses construction on 2nd headquarters in Virginia