President Donald Trump announced Tuesday that he has signed an executive order to “cut through bureaucratic red tape” and speed up reconstruction of tens of thousands of homes destroyed by the January 2025 Los Angeles area wildfires.Trump’s order, signed Friday, seeks to allow homeowners to rebuild without contending with “unnecessary, duplicative, or obstructive” permitting requirements, the White House said in a statement.The order directs the Federal Emergency Management Agency and the Small Business Administration to find a way to issue regulations that would preempt state and local rules for obtaining permits and allow builders to “self-certify” that they have complied with “substantive health, safety, and building standards.”California Gov. Gavin Newsom scoffed at the idea that the federal government could issue local rebuilding permits and urged Trump to approve the state’s $33.9 billion disaster aid request. Newsom has traveled to Washington, D.C., to advocate for the money, but the administration has not yet approved it.The Democratic governor said on social media that more than 1,600 rebuilding permits have been issued in Los Angeles and officials are moving at a fast pace.“An executive order to rebuild Mars would do just as useful,” Newsom wrote on social media. He added, “please actually help us. We are begging you.”Fewer than a dozen homes had been rebuilt in Los Angeles County as of Jan. 7, one year after the fires began, The Associated Press found. About 900 homes were under construction.The Palisades and Eaton fires killed 31 people and destroyed about 13,000 residential properties. The fires burned for more than three weeks and cleanup efforts took about seven months.It wasn’t immediately clear what power the federal government could wield over local and state permitting. The order also directs federal agencies to expedite waivers, permits and approvals to work around any environmental, historic preservation or natural resource laws that might stand in the way of rebuilding.Los Angeles Mayor Karen Bass said in a statement that instead of trying to meddle in the permitting process, the Trump administration should speed up FEMA reimbursements.Bass called Trump’s move a “political stunt” and said the president should issue an executive order “to demand the insurance industry pay people for their losses so that survivors can afford to rebuild, push the banking industry to extend mortgage forbearance by three years, tacking them on to the end of a 30-year mortgage, and bring the banks together to create a special fund to provide no-interest loans to fire survivors.”The mayor said rebuilding plans in Pacific Palisades are being approved in half the time compared to single-family home projects citywide before the wildfires, “with more than 70% of home permit clearances no longer required.”Permitting assistance is “always welcome,” said Joy Chen, executive director of the Eaton Fire Survivor’s Network, a coalition of more than 10,000 Eaton and Palisades fire survivors, but it’s not the primary concern for those trying to rebuild.“The number one barrier to Eaton and Palisades fire survivors right now is money,” said Chen, as survivors struggle to secure payouts from insurance companies and face staggering gaps between the money they have to rebuild and actual construction costs.Nearly one-third of survivors cited rebuild costs and insurance payouts as primary obstacles to rebuilding in a December survey by the Department of Angels, a nonprofit that advocates for LA fire survivors, while 21% mentioned permitting delays and barriers.In addition, Trump’s executive order also directs U.S. Homeland Security Secretary Kristi Noem and FEMA acting administrator Karen Evans to audit California’s use of Hazard Mitigation Grant Program funding, a typical add-on in major disasters that enables states to build back with greater resilience. The audit must be completed within 60 days, after which Noem and Evans are instructed to determine whether future conditions should be put on the funding or even possible “recoupment or recovery actions” should take place.Trump has not approved a single request from states for HMGP funding since March, part of a wider effort to reduce federal funding for climate mitigation.
This story has been corrected to reflect that Trump last approved an HMGP request in March, not February.
Christopher Weber and Gabriela Aoun Angueira, Associated Press
Dutch semiconductor chip machine maker ASML recorded a record net profit of 9.6 billion euros ($11.5 billion) in 2025 on sales of 32.7 billion euros fueled by AI-driven demand, the company reported Wednesday as it also announced plans to slash its workforce by about 1,700, about 4% of its workforce.The growth comes despite Dutch government restrictions on exports of machines that can be used to make chips that can be integrated into weapons systems. The measures, initially announced in 2023 and later expanded, are seen as part of a U.S. policy that aims at limiting China’s access to such technology.“In the last months, many of our customers have shared a notably more positive assessment of the medium-term market situation, primarily based on more robust expectations of the sustainability of AI-related demand. This is reflected in a marked step-up in their medium-term capacity plans and in our record order intake,” ASML President and Chief Executive Officer Christophe Fouquet said in a statement.In a message to employees, the company said it was cutting jobs in order to become more streamlined and efficient. It said ASML was “choosing to make these changes at a moment of strength for the company. Improving our processes and systems will allow us to innovate more and innovate better, generating further responsible growth for ASML and our stakeholders.”The job cuts are intended to sharpen ASML’s focus on engineering and innovation by streamlining the company’s technology and IT departments, the message said.The company said it expects 2026 to be “another growth year for ASML’s business” driven by sales of its extreme ultraviolet lithography systems.
Associated Press
A third round of “No Kings” protests is coming this spring, with organizers saying they are planning their largest demonstrations yet across the United States to oppose what they describe as authoritarianism under President Donald Trump.Previous rallies have drawn millions of people, and organizers said they expect even greater numbers on March 28 in the wake of Trump’s immigration crackdown in Minneapolis, where violent clashes have led to the death of two people.“We expect this to be the largest protest in American history,” Ezra Levin, co-executive director of the nonprofit Indivisible, told The Associated Press ahead of Wednesday’s announcement. He predicted that as many as 9 million people will turn out.“No Kings” protests, which are organized by a constellation of groups around the country, have been a focal point for outrage over Trump’s attempts to consolidate and expand his power.“This is in large part a response to a combination of the heinous attacks on our democracy and communities coming from the regime, and a sense that nobody’s coming to save us,” Levin said.Last year, Trump said he felt attendees were “not representative of the people of our country,” and he insisted that “I’m not a king.”
‘No Kings’ shifts focus after Minneapolis deaths
The latest round of protests had been in the works before the crackdown in Minneapolis. However, the killing of two people by federal agents in recent weeks has refocused plans.Levin said they want to show “support for Minnesota and immigrant communities all over” and oppose “the secret police force that is murdering Americans and infringing on their basic constitutional rights.”“And what we know is, the only way to defend those rights is to exercise them, and you do that in nonviolent but forceful ways, and that’s what I expect to see in ‘No Kings’ three,” Levin said.Trump has broadly defended his aggressive deportation campaign and blamed local officials for refusing to cooperate. However, he’s more recently signaled a shift in response to bipartisan concern over the killing of Alex Pretti in Minneapolis on Saturday.
Previous ‘No Kings’ protests have drawn millions across the US
In June, the first “No Kings” rallies were organized in nearly 2,000 locations nationwide, including cities, towns and community spaces. Those protests followed unrest over federal immigration raids and Trump’s deployment of the National Guard and Marines to Los Angeles, where tensions escalated with protesters blocking a freeway and setting vehicles on fire.They were organized also in large part to protest a military parade in the nation’s capital that marked the Army’s 250th anniversary and coincided with Trump’s birthday. “No Kings” organizers at the time called the parade a “coronation” that was symbolic of what they characterized as Trump’s growing authoritarian overreach.In response, some conservative politicians condemned the protests as “Hate America” rallies.During a second round of protests in October, organizers said demonstrations were held in about 2,700 cities and towns across the country. At the time, Levin pointed to Trump’s sweeping immigration crackdown, his unprecedented promises to use federal power to influence midterm elections, restrictions on press freedom and retribution against political opponents, steps he said cumulatively represented a direct threat to constitutionally protected rights.On social media, both Trump and the official White House account mocked the protests, posting computer-generated images of the president wearing a crown.The big protest days are headline-grabbing moments, but Levin said groups like his are determined to keep up steady trainings and intermediate-level organizing in hopes of growing sustainable resistance to the Trump administration’s actions.“This isn’t about Democrats versus Republicans. This is about do we have a democracy at all, and what are we going to tell our kids and our grandkids about what we did in this moment?” Levin said. “I think that demands the kind of persistent engagement. “
Meg Kinnard can be reached at http://x.com/MegKinnardAP
Meg Kinnard, Associated Press
Tech founder and provocateur Travis Kalanick made millions betting on key parts of the young adult lifestyle with Uber (transportation) and dining (ghost kitchen startup CloudKitchens). Can he hit a trifecta with a bet on tech-focused, community-driven apartments?
Kalanick has partnered with Oliver Ripley, founder of the luxury hospitality company Habitas, to launch Sekra, a bid to tackle the massive multifamily housing market with a firm that will focus on building and managing upscale rental apartments. Its a market thats sure to grow: Ripley estimates 80% of people younger than 40 globally rent, and thats only going to increase as stubborn housing affordability impacts remain a key issue. In the U.S., the number of rental households has grown steadily, hitting more than 46 million last year, according to the Census Bureau, with strong growth in the percentage of Gen Z members renting.
The idea is to apply layers of technology and hospitality to create a more profitable brand of rental housing; while Sekras tool and tech stack are still under development, other apartment companies have saved money by automating repairs, streamlining operations, cutting energy bills, and making the touring and leasing experience faster, reducing vacancies.
There’s a real opportunity to do something different in the multifamily space, to build a global brand that sits at the cross section of community, culture, and longevity and wellness, Ripley says.
[Photo: Sekra]
Ripley describes Sekra as taking both a hardware and software approach. The hardware portion includes building a proprietary tech platform for operations and iterating with residents (other tech in the market such as Elise.AI has seen significant growth in recent years). The in-development resident app will incorporate programming, content, and in-unit internet of things functionalitysuch as the ability to control appliances or lightingthat will give residents an integrated experience that will command above-market rents.
It also includes building a space that encourages socialization and better sleep, including consulting with sleep experts, installing noise insulation and blackout shades, and using circadian rhythm lighting.
The software part means hiring ambassadors for the properties and curating the community and its residents. Ripley says the onboarding for new residents will be done by the Sekra team, the residents themselves, and through the resident app.
The application of technology to a branded living experience may be harder than it looks. Evidence exists that tech can save apartment owners money: A survey by the National Apartment Association about AI usage found operators achieved 10% savings in payroll and a 15% increase in retention rates.
According to Joel Steinhaus, a former WeWork exec who cofounded a coworking firm called Daybase, theres a big opportunity: The housing market is huge and there arent any dominant brands in the market. But theres a reason for that. It’s just hard to contemplate being relevant to someone in their personal space when they want to make it their own, he says.
For context, a 2024 resident survey of 172,000 renters taken by industry group the National Multifamily Housing Council found that the most desired community features are fairly basic, including cell reception, a fitness center, covered parking, and a poolall sought after by more than 70% of respondents. Features like maker spaces, party rooms, conference rooms, vegetable gardens, dog parks, and others were cited by 50% or fewer renters.
Sekra, which has quietly raised $12.5 million from a cadre of tech and real estate VCs and investors, including Fifth Wall, Moinian Group, and Harvey Spevak, the chairman and managing partner of Equinox, seeks to open its locations later this year, zeroing in on sites in coastal U.S. cities as well as in Riyadh, Saudi Arabia, and Dubai. Sekra will both renovate and operate existing buildings and eventually build its own new, ground-up projects.
As Ripley says of the gigantic global rental market: It just felt like an industry ripe for disruption, ripe to be messed with.
[Photo: Sekra]
Go With The Flow
A portmanteau of Sekhmet, the Egyptian goddess of healing and protection, with Ra, the Egyptian sun god, Sekra seeks to combat a few hurdles facing renters and the apartment market: the challenge of buying a home, the lack of socialization and authentic community during a global loneliness epidemic, and the blandness of much of the high-end housing stock. Early renderings show a hotel lobby-esque experience, with a muted color palette, textured materials, and plenty of curved lines.
Its not the first tech-bro-helmed startup seeking to revolutionize the apartment market. WeWork founder Adam Neumann launched Flow, his own rental platform, in 2022, and has quietly built a company valued at $2.5 billion, which includes 1,000 rental units and nearly 500 condo units in South Florida, control of an under-construction 4-million-square-foot riverfront district in Miami, and holdings in Riyadh.
Ripley argues that his experience with Habitas in building hospitality brand suited to young travelers makes him an ideal candidate to change the way apartments operate. Sekras seeking to create points of differentiation in areas that have long been puzzles for multifamily operators: creating authentic communities and applying tech to help streamline operations. Both goals have a profit motive. Better community means fewer move-outs and vacancieskey measures of rental housing profitabilityand more efficient operations lead to lower operating costs. Ripley claims hell be able to double retention rates.
Steinhaus says that building community in real estate, as he has in his coworking firm, means being cognizant of the mistake of making too much effort. Creating community means being the host of the party, not the life of the partytoo much forced fun and performative programming may make it impossible for organic community development to take root.
When asked to define programming for Sekra, Ripley mentions elements empowered by residents, and some familiar concepts: game nights, movie nights, lectures or talks, therapy nights or wellness programming, and book clubs.
Brendan Wallace, CEO and cofounder of Fifth Wall, an investor in Sekra, believes Ripley and his team, with their hospitality background, are the ones who can build a single tech ecosystem that addresses all of these challenges and do a better job managing and increasing profits.
Many current owners lack an understanding of the elements of hospitality and community building, Wallace says. We see this when we talk to owners. They have big ideas, and even similar notions, but they end up being poorly executed and feel kludgey.
Users of several trendy AI tools will now be able to demonstrate their proficiency with the software directly in their LinkedIn profile. On January 28, the company announced partnerships with three vibe coding platformsLovable, Relay.app, and Replitthat will allow qualified users to link their accounts on those apps to their accounts on LinkedIn, adding certificates based on their proficiency with the tools. The level of certification can increase over time as people continue to use a tool and demonstrate their sophistication with it, says Pat Whelan, head of career products at LinkedIn. While the details of the certification process are up to the individual partner companies, Whelan says the new certificates will serve as a signal to hiring managersand LinkedIns own hiring assistant AI toolsthat people actually have demonstrated sought-after skills harnessing AI. That signals to hirers that this person actually has that skill and actually put the time intheyre using that product, he says. And it becomes a way for you to sort of stand out as a job seeker and be seen in this crowded and challenging job market. Unlike test-based certifications, those looking to add the new certificates to their profiles wont simply be able to cram and pass an exam. In at least some cases, proficiency will be assessed by product-makers own AI systems, but it will require actual usage of the underlying tool. [Animation: LinkedIn]The partner determines the level of capability in using that tool, and we ingest that signal, Whelan says. That way, the person who knows the tool well can determine exactly how to measure that and how to rank it. Experience with a particular tool doesnt have to be at a job seekers day job: Usage for side projects and side hustles is just as valid, Whelan says. Certificates will also be available from more partners including Gamma, GitHub, and Zapier in the coming months, and additional companies can sign up to potentially participate in the program. Software makers arent charged to participate, according to LinkedIn. [Animation: LinkedIn]The new certificates come as LinkedIn has increasingly come to emphasize career-relevant skills, as well as formal education and job experience, in helping people promote themselves and in helping to match job seekers to positions. AI features within LinkedIn itself have evolved to help people search for positions based on descriptions rather than exact keywords and to help users understand whether their profiles clearly demonstrate they match what the hirers behind particular roles are looking for in a candidate. And as generative AI software has rapidly evolved, many have learned to use such tools on the job or on their own time, meaning they dont have college coursework or other traditional training certificates showing theyre proficient in the use of AI. The new certificate system doesnt cover every popular AI toolat least not yetbut does provide a new way for users of some major AI products to showcase their verified experience with the software. We think there’s a lot of opportunities to create new signals where members can show they genuinely have skills in these emerging areas, Whelan says.
Another day, another announcement of restaurant closures in the casual-dining space.
Earlier this week, FAT Brands filed for Chapter 11 bankruptcy protection. As part of that process, the restaurant company is seeking to reject leases for a number of shuttered company-owned restaurants, including locations for Johnny Rockets, Smokey Bones, and Yalla Mediterranean, court filings show.
FAT Brands owns 18 restaurant chains in total, including Fatburger, Round Table Pizza, Great American Cookies, and more. Most of its more than 2,200 locations worldwide are franchised. FAT Brands said in its bankruptcy filing that it owns roughly 150 locations directly.
“Our dynamic portfolio of brands has demonstrated tremendous resilience in a challenging restaurant operating environment over the last few years,” Andy Wiederhorn, CEO of FAT Brands, said in a statement when announcing the bankruptcy. “We are well positioned for long-term profitability and growth. The chapter 11 process will provide us with the opportunity to strengthen our capital structure to support our concepts and ensure they remain at the forefront of their sectors.”
Which FAT brands locations have shuttered?
In its bankruptcy announcement, FAT Brands said it expects restaurants to continue operating normally throughout the process.
However, the company disclosed in a bankruptcy filing on Monday that it has shuttered a number of company-owned restaurants: 14 Smokey Bones locations nationwide, along with two Johnny Rockets and five Yalla Mediterranean locations. The latter twos impacted stores are only in California.
Fast Company has reached out to FAT Brands to ask if other stores will be impacted. We will update this post if we hear back.
Johnny Rockets closures
California
Orange: 20 City Blvd E
Santa Monica: 1322 Third Street
Smokey Bones closures
Florida
Casselberry: 1430 State Road 436
Fort Lauderdale: 6500 N Federal Hwy
Plantation: 809 South University Drive
Georgia
Buford: 3333 Buford Drive, Site 1000
Illinois
Rockford: 6690 E State Street
Massachusetts
Stoughton: 301 Technology Center Drive
Michigan
Grand Rapids: 4875 28th Street SE
Utica: 45001 Schoenherr Road
Ohio
Columbus: 3939 Mose Crossing
Maumee: 512 West Dussel Drive
Pennsylvania
North Wales: 252 Montgomery Mall
Wilkes-Barre: 265 Mundy Street
Virginia
Newport News: 12541 Jefferson Avenue
Woodbridge: 2601 Prince William County Parkway
Yalla Mediterranean closures
California
Dublin: 5246 Dublin Blvd
Dublin: 1781 N. Victory Place
Seal Beach: 12420-A Seal Beach Blvd
Fremont: 3141 Mowry Avenue
Walnut Creek: 1813-A Ygnacio Valley Road
Some casual-dining restaurants are struggling
Life is continually getting more expensive and fewer people are spending their money at casual-dining restaurants.
FAT Brands joins the ranks of Noodles & Company, Outback Steakhouse, and Cracker Barrel‘s Maple Street Biscuit Companyall of which have recently closed locations.
Some fellow casual-dining restaurants, such as Red Lobster and TGI Fridays, have not only closed stores in recent years but, like FAT Brands, have filed for bankruptcy.
However, both of those brands have since plotted out a comeback, and FAT Brands has hinted at one as well. “We plan to use this process to connect with key stakeholders around a value-maximizing plan and will act prudently to remain steadfast in upholding and protecting stakeholder interests,” Wiederhorn said in his statement.
Shares of FAT Brands Inc (Nasdaq: FAT) fell 33% on Tuesday following the announcement. The stock was trading at under 25 cents a share in premarket on Wednesday.
Two federal officers fired shots during the encounter that killed ICU nurse Alex Pretti over the weekend in Minneapolis, a Customs and Border Protection official told Congress in a notice sent Tuesday, while Ecuador’s minister of foreign affairs filed an objection saying immigration agents tried to enter the country’s consulate in the city without permission.Officers tried to take Pretti into custody and he resisted, leading to a struggle, according to a notification to Congress obtained by The Associated Press. During the struggle, a Border Patrol agent yelled, “He’s got a gun!” multiple times, the official said.A Border Patrol officer and a CBP officer each fired Glock pistols, the notice said.Investigators from CBP’s Office of Professional Responsibility conducted the analysis based on a review of body-worn camera footage and agency documentation, the notice said. The law requires the agency to inform relevant congressional committees about deaths in CBP custody within 72 hours.Separately, a man was arrested after he sprayed an unknown liquid at U.S. Rep. Ilhan Omar while she was speaking at a town hall meeting in Minneapolis. The Democrat had just called for the abolishment of Immigration and Customs Enforcement and for Homeland Security Secretary Kristi Noem to resign when she was sprayed.
Trump says ‘we’re going to de-escalate a little bit’
The developments came a day after President Donald Trump ordered border czar Tom Homan to take over his administration’s immigration crackdown in Minnesota in the wake of Pretti’s death, which was the second fatal shooting this month of a person at the hands of immigration law enforcement.By sending Homan to Minnesota, “we’re going to de-escalate a little bit,” Trump said during an interview on Fox News’ “Will Cain Show.” That’s significant since White House press secretary Karoline Leavitt, when questioned repeatedly Monday about Homan’s being dispatched to Minnesota, refused to say that doing so was an effort to calm the situation.The president added of Homan, “Tom, as tough as he is, gets along” with governors and mayors, even in Democratic areas.As he left the White House on Tuesday, the president was asked whether Pretti’s killing was justified. He responded by saying that a “big investigation” was underway. In the hours after Pretti’s death, some administration officials sought to blame the shooting on the 37-year-old intensive care nurse.Stephen Miller, Trump’s deputy chief of staff who had initially called Pretti “an assassin,” issued a statement suggesting CBP officers in Minneapolis “may not have been following” protocol. He said the Homeland Security Department’s initial statements about what transpired on Saturday was “based on reports from CBP on the ground.”
Ecuador files a protest with the US Embassy
A video of the Ecuadorian consulate entry attempt posted on social media shows a staffer running to the door to turn the Immigration and Customs Enforcement agents away, telling them, “This is the Ecuadorian consulate. You’re not allowed to enter.” One ICE officer can be heard responding by threatening to “grab” the staffer if he touched the agent before agreeing to leave.International law generally prohibits law enforcement authorities from entering foreign consulates or embassies without permission, though sometimes permission may be assumed granted for life-threatening emergencies, like fires.“Consulate officials immediately prevented the ICE officer from entering the consular building, thus ensuring the protection of the Ecuadorians who were present at the time and activating the emergency protocols issued by the Ministry of Foreign Affairs and Human Mobility,” the ministry wrote on X.A “note of protest” was filed with the U.S. Embassy in Ecuador so that similar attempts aren’t made at other consulates, the ministry said. The State Department, Homeland Security and Immigration and Customs Enforcement did not immediately respond to requests for comment.
Trump says of sending Bovino to Minneapolis: ‘Maybe it wasn’t good here’
Immigration enforcement activity witnessed by journalists in Minneapolis and surrounding suburbs on Tuesday appeared comparable with recent weeks. As before, most didn’t result in major confrontations with agents. Activists say they continue to monitor enforcement operations through social media and chats on messaging apps.The White House had tried to blame Democratic leaders for the protests of immigration raids. But after Pretti’s killing and videos suggesting he was not an active threat, the administration tapped Homan to take charge of the Minnesota operation from Border Patrol commander Gregory Bovino.Trump said Bovino, the go-to architect for the president’s large-scale city-by-city immigration crackdowns, was “very good” but added “he’s a pretty out-there kind of a guy” and “maybe it wasn’t good here.”Minnesota Gov. Tim Walz and Minneapolis Mayor Jacob Frey, along with the city’s police chief, met with Homan on Tuesday and agreed to keep talking. Homan posted on social media that the discussions “were a productive starting point.”
Courts weigh in on detained immigrants
In Texas, a federal judge issued a temporary order prohibiting the removal of a 5-year-old Ecuadorian boy and his father who were detained last week in Minnesota in an incident that further inflamed divisions on immigration. U.S. Judge Fred Biery ruled Monday that any removal or transfer of 5-year-old Liam Conejo Ramos and his father, Adrian Alexander Conejo Arias, is on hold while a court case proceeds.Also in Texas, federal immigration authorities released an Ecuadorian man whose detention led the chief federal judge in Minnesota to order the head of ICE to appear in his courtroom, the man’s attorney said.Attorney Graham Ojala-Barbour said the man was released in Texas. The lawyer said in an email to The Associated Press that he was notified in an email from the U.S. attorneys office in Minneapolis that his client had been freed.In an order dated Monday, Chief Judge Patrick J. Schiltz expressed frustration with the Trump administration’s handling of immigration cases. He took the extraordinary step of ordering Todd Lyons, the acting director of ICE, to personally appear in his courtroom Friday.Schiltz had said in his order that he would cancel Lyons’ appearance if the man was released from custody.“This Court has been extremely patient with respondents, even though respondents decided to send thousands of agents to Minnesota to detain aliens without making any provision for dealing with the hundreds of habeas petitions and other lawsuits that were sure to result,” he wrote.Schiltz’s order followed a federal court hearing Monday on a request by the state and the mayors of Minneapolis and St. Paul for a judge to halt the immigration enforcement surge. The judge in that case said she would prioritize the ruling but did not give a timeline for a decision.Schiltz wrote that he recognizes ordering the head of a federal agency to appear personally is extraordinary. “But the extent of ICE’s violation of court orders is likewise extraordinary, and lesser measures have been tried and failed,” he said.The Associated Press left messages Tuesday with ICE and a DHS spokesperson seeking a response.
Catalini reported from Trenton, New Jersey and Karnowski from Minneapolis. Associated Press writers Tim Sullivan in Minneapolis, Rebecca Boone in Boise, Idaho, and Michelle Price in Washington contributed to this report.
Seung Min Kim, Mike Catalini and Steve Karnowski, Associated Press
Its been a brutal week when it comes to layoffs.
On Monday, shoe giant Nike announced it would lay off 775 employees, and on Tuesday, Pinterest announced it would lay off around 15% of its workforce. The same day, UPS announced 30,000 job cuts.
Now Amazon is also joining their ranks with the announcement today of mass layoffs. Heres what you need to know.
Whats happened?
On Wednesday, Amazon announced that it was eliminating 16,000 positions across its workforce. The company has around 1.5 million workers worldwide.
In an unfortunate event, on Tuesday, Amazon accidentally sent an email to employees referencing the layoffs before they had been communicated to staff. But now the company has made the layoff announcement official.
In a blog post on its website, Amazons senior vice president of people experience and technology, Beth Galetti, reposted the message sent to Amazon employees earlier in the day.
In that message, Galetti said the layoffs will impact approximately 16,000 roles at the company. Galetti did not state which divisions would be most impacted by the layoffs. However, the senior VP did note that Amazon will be offering most U.S.-based employees who are affected by the layoffs a chance to look for a new position within the company for the next 90 days.
Galetti also stated that Amazon will continue hiring and investing in strategic areas and functions that are critical to our future.
Why is Amazon laying off so many workers?
Galetti didnt go into detail as to the exact reasons why Amazon is laying off so many workers, other than stating that the company is looking to strengthen itself by reducing layers, increasing ownership, and removing bureaucracy.
However, she did reference the companys earlier mass layoffs.
In October 2025, Amazon announced an earlier round of job cuts, eliminating 14,000 corporate roles at the company. At the time, Galetti said those cuts were the result of CEO Andy Jassys September 2024 directive to strengthen Amazons culture and teams.
The reductions were sharing today, Galetti wrote when announcing the 2025 layoffs, are a continuation of this work to get even stronger by further reducing bureaucracy, removing layers, and shifting resources to ensure were investing in our biggest bets and what matters most to our customers current and future needs.
At the time, Galetti also stated that Amazon needed to become a leaner company with fewer layersan outlook apparently reached in part due to the rise of artificial intelligence.
The world is changing quickly, Galetti wrote in October. This generation of AI is the most transformative technology weve seen since the Internet, and its enabling companies to innovate much faster than ever before (in existing market segments and altogether new ones).
Galetti again echoed the theme of a rapidly changing world in her memo today.
Just as we always have, every team will continue to evaluate the ownership, speed, and capacity to invent for customers, and make adjustments as appropriate, she stated. Thats never been more important than it is today in a world thats changing faster than ever.
Amazon also closing stores
But Amazon isnt stopping with just layoffs this week. Yesterday, the company announced it was shutting down two of its physical retail store chains. On Tuesday, the company said it would close all of its Amazon Fresh and Amazon Go grocery stores.
After a careful evaluation of the business and how we can best serve customers, weve made the difficult decision to close our Amazon Go and Amazon Fresh physical stores, converting various locations into Whole Foods Market stores, the company said.
As with the layoffs, the closure of its Go and Fresh stores signifies Amazon is being relentless in its pursuit of cost-cutting and reallocating portions of its business in order to cut operational costs and boost its bottom line.
How has Amazons stock reacted?
After announcing the closure of its Amazon Go and Amazon Fresh stores yesterday, Amazon.com, Inc. stock price (Nasdaq: AMZN) closed up about 2.6% for the day, with AMZN shares finishing at $244.68.
As of this writing, AMZN shares seem relatively unaffected by the layoff announcement. Currently, Amazons stock is up about three-tenths of a percent in premarket trading.
The companys stock price has already had a small but healthy return in 2026 so far. As of yesterdays close, AMZN shares were up 6% for the year.
But over the past 12 months, Amazons stock has underperformed the broader Nasdaq Composite, which is up over 23% since this time last year, according to Yahoo Finance. By contrast, Amazon shares are up less than 4% over the same period.
Investors will be eagerly awaiting the results of Amazons all-important holiday quarter when it reports its Q4 2025 earnings on February 5.
Artist Edel Rodriguez published his new print, Minneapolis, just hours after a federal agent shot and killed ICU nurse Alex Pretti on January 24. The print features a pop art image of President Donald Trump, mouth agape and gun in hand, kneeling on the neck of Lady Liberty, whos slowly bleeding out on the street from multiple gunshot wounds.
The killing occurred during the weeks-long, federally ordered presence of Immigration and Customs Enforcement (ICE), Customs and Border Protection, and other federal agencies in the Twin Cities, where those agents have raided residential neighborhoods, detained employees from local businesses, and taken multiple schoolchildren into custody in broad daylight. Pretti’s death came just weeks after Minneapolis resident Renee Good was shot and killed in her car during an encounter with an ICE agent.
Members of the Trump administrationincluding the president himselfhave spent the days following these two tragedies suggesting that both Pretti and Good posed a threat to federal agents, despite available video evidence that appears to refute those claims.
As Minnesotans continue to witness ICE agents disrupting their local communities and targeting their neighbors, protest art has served a critical role in their collective movement against the surge of federal forces. Across Minneapolis, graffiti, yard signs, stickers, and even sleds with anti-ICE messages have exploded in popularity. Local screen-printing studios like Burlesque of North America and Art Price Studio have produced their own designs while also offering free printing services to protesters.
Now, in the wake of Prettis shooting, artists across the nation are using protest art to offer their support to the cityand to express their outrage at the federal governments actions.
These events are complex and can be easily manipulated, Rodriguez says. An image or a poster can cut through all of that and get to the heart of the matter. Many people feel they are alone in how they are feeling. Art helps people understand that they are not alone, that they are not imagining things.
Minneapolis by Edel Rodriguez
Minneapolis
Rodriguezs concept for Minneapolis traces back to 2020, when Minneapolis police officer Derek Chauvin killed resident George Floyd by kneeling on his neck for over nine minutes. At the time, Rodriguez created an initial sketch of the scene, followed by another version several weeks later, he says, of Trump doing the same to Lady Liberty.
After witnessing the killings of Good and Pretti, Rodriguez created a new version of the illustration in which Trump is holding a gun over Lady Liberty’s prone form.
All of these murders happened in the same city, and share one thing in commondisturbing violence and a disregard for human life by those in a position of authority, Rodriguez says. We talk about ICE or Border Patrol violating Americans civil rights, but the person responsible for the killings is Donald Trump. Thats where the idea for this image came from.
Since 2016, Rodriguez has used his signature pop-art style to chronicle Trumps time in office, drawing inspiration from political artists like John Heartfield, George Grosz, Otto Dix, and Max Beckmann to use satirical work as a means of documenting history for future generations. Rodriguez, who grew up under Fidel Castros authoritarian regime in Cuba, says many of the Trump administrations recent actions feel strikingly familiar.
We are in a very dangerous time in this country, he says. Americans seem to have accepted the idea that being asked for their papers by masked men is acceptable. I grew up in a dictatorship in Cuba where this was commonplace, where people had no rights against search and seizure and no free speech. All Americans should be outraged that people are being targeted based on the color of their skin or their accent.
James Herriott, What Kind of American Are You
What Kind of American Are You
Undoubtedly the most widely circulated and impactful imagery from the killings of Good and Pretti are the videos and stills of the events themselveswhich citizens captured from several angles on the scene in both cases.
These videos have served as crucial touchpoints to fight back against the administrations claims that Good and Pretti acted violently toward federal agentswhen, indeed, all visual evidence points to the contrary. They also inspired James Herriot, an artist from Montana, to create his first pieces of protest art, which have since picked up considerable traction on Reddit.
When I got up and saw the news of Alex Pretti’s killing I was shaking, Herriot says. I felt like I had just watched a malicious, completely avoidable, and yet entirely predictable train wreck. Watching that federal agent unload round after round into a civilian on the ground was absolutely sickening.
As someone living in a deep red area of the U.S., he adds, there are only a few people in his circle that he can speak openly with, so drawing sometimes feels like the only way I can process it.
Herriots illustration, titled What Kind of American Are You, merges imagery from Prettis killing with a scene from the 2024 film Civil War. In the film, which imagines a fractured future America, an armed antagonist played by Jesse Plemons questions a group of journalists on their race and country of origin, executing any who dont answer to his liking. The subtext of the scene is that Plemonss character views whiteness as a proxy for Americaness.
In this moment in the movie [Plemonss character] is asking What kind of American are you? to a group of strangers he intends to harm, Herriot says. I think that question hits on so many levels. . . . Are you one of ‘us’ or one of ‘them’ . . . Are you the right color . . . Were you born in the right place? Or even deeper, are you the kind of American who will stand for the values upon which our nation was supposedly founded, or one who will succumb to tribalism, hate, and party politics?
In What Kind of American Are You, Plemonss character is pictured with his recognizable red sunglasses and assault rifle hovering over Prettis prone form, while federal agents point a gun and a can of pepper spray at Prettis head. Since posting the work, Herriot says hes received some reactions labeling the art as propaganda (which he believes sort of proves the point of it”), though the overwhelming response has been supportive.
I think protest art plays the same role that physical protests do, Herriot says. While it may not functionally, directly change anything, it shows people that they’re not alone. It shows others that not everyone in the world thinks the same way they do. It shows those in power that their actions or policies are not accepted by everyone.
Topsy, Dont worry, Ive got you
Dont worry, Ive got you
Topsy is a graffiti artist in Seattle, who asked to remain anonymous for this story due to possible retaliation. Topsy has been creating public protest art since Trump’s second inauguration, including designs in support of the No Kings protests, that depict ICE agents as pigs, and that satirize Trumps friendship with Jeffrey Epstein. News of Pretti’s death “bore a hole through my heart, the artist says.
Topsy’s initial draft highlighted violent acts perpetrated by ICE. Ultimately, though, the artist decided to shift focus.
“From all accounts of his loved ones, Alex was the embodiment of someone who cared deeply about justicelending himself to help others,” Topsy says. “This shows in all parts of his life, from his work as an ICU nurse at the VA, up to his last moments, protecting a woman before ICE executed him in retaliation. I realized that the strength of Alex’s light was far more powerful than the darkness of ICE. I wanted to make something beautiful that his parents could look at and be proud of him for that.”
The final work is titled Don’t worry, I’ve got you. It shows Pretti, who worked at the Minneapolis Veterans Affairs Hospital, wearing blue scrubs and a stethoscope. Hes leaning over to assist Lady Justice, whos crumpled on the ground, wearing her symbolic blindfold. The image mirrors a moment seconds before Prettis death, when he attempted to help a fellow protester who had been pushed down by a federal agent.
Topsy selected a wall in First Hill, a Seattle neighborhood known for its high concentration of medical centers, as the site for the work. Its now been viewed thousands of times in real life and across social media.
“In a time of many injustices, where even our own Department of Justice refuses to investigate the murders of citizens by ICE, Topsy says, I wanted to highlight that regular citizens like Alex are the true people who will pull Justice up from the trenches and make sure she sees another day.
Kim (not her real name) is a scientist and tenured faculty member at a high-profile university. For years, she steadily moved up the hierarchy, yet no one could point to what she accomplished. She kept transferring from role to role, not because she succeeded. In fact, it was the opposite.
Kim wasnt delivering measurable results, and no one liked working with her. She occupied an uncomfortable middle ground: not unsuccessful enough for the university to dismiss her, but no longer effective enough to stay.
They transferred her to a newly created role. It came with bigger, but opaque responsibilities. The result looked like a promotion, but functioned as avoidance. I study and speak about high achievers in the workplace, including in my recent book, The Success Factor, and have observed this problem resurface, leading to the departure of top performers.
What happened to Kim is what I call promotion by failure. Its the practice of moving an underperforming or difficult employee into a higher status role, often with increased influence and reduced accountability, to avoid directly addressing the poor performance. Ultimately, this isnt just a performance issueits a leadership and systems failure.
Achieving promotion by failure
When companies reassign, elevate, or create new positions for under-performing employees, this misaligned intervention sends an alarming signal with reverberating negative ripple effects on teams and the entire organization. The displacement strategy removes the bad employee from immediate friction but ignores the root cause. Sadly, the underperforming employee will eventually repeat their behavior in a new role.
But promotion by failure doesnt help anyone. Its not a developmental rotation, and it doesnt provide a stretch assignment to the troubled employee. What it does do is reward poor behavior without consequence and leaves a trail of damage and mistrust in its wake.
Reasons for this lack of accountability can be structural, psychological, or legal in nature. We typically see this to be more prevalent in large bureaucratic systems, organizations with weak performance management, and cultures that avoid conflict. Letting someone go may open a company up to litigation, especially if theres a lack of clear performance metrics. As a result, they end up shuffling the employee around so they can make sure that they dont do too much damage. Organizations then repeat the cycle until the employee leaves on their own, or the issues escalate to the point where companies cannot ignore the issue.
Weak leaders share blame in fueling promotion by failure. They are often conflict-avoidant and worry that any potential grievances will damage their reputation. Theyve also convinced themselves that the role wasnt the right fit for the individual or have overestimated the power of a new role for the individual, instead of addressing their capability gaps.
Why high performers leave when this happens
Ultimately, while they might have avoided conflict by promoting a weak performer, there are unintended negative consequences. Top performers, in particular, can become disillusioned, which leads to employee disengagement, lack of innovation, and retention issues.
High performers value competence, clarity, and fairness. Promotion by failure violates all three. It signals that results dont matter, negative behavior has no consequence, and excellence is optional. This causes your top performers to be disenfranchised, cynical, and disengaged. And when they feel all those things, eventually they leave the organization.
As a result, organizations dont only end up losing their best talent, but also their trust. And when these people leave, who remains? Those who operate by smoke and mirrors rather than achieve results.
The organizational cost that leaders underestimate
Its not just poor leadership. Theres a tangible organizational cost and messaging when you reward poor performance.
Erosion of performance culture: High performers have the image that optics trump output, and that they dont reward consistent results as much as visibility or tenure. It also sends a signal that performance standards vary depending on who the company is evaluating.
Loss of institutional credibility: When communication about merit conflicts with reality, employees no longer trust promotion or role assignment decisions. Employees respond to leaders explanations with silence, rather than buy-in.
Increased attrition among top talent: High performers leave due to neglect. The strongest contributors leave quietly, without waiting for counteroffers. The exit interviews raise red flags of poor leadership rather than workload or salary.
Normalization of mediocrity: Instead of rewarding high performance and productivity, average becomes the acceptable norm, which stunts innovation. Feedback and brainstorming sessions shift from improvement to reassurance, while the company treats excellence as optional rather than expected.
Succession pipelines filled with the wrong people: If you ever wondered why certain people are in leadership roles, its because in some institutions, promotion is about loyalty rather than capability. Companies fill those roles with people who create the least resistance.
What senior leaders need to do
If youre a leader who is committed to excellence, its time to address this overlooked (yet undeniable) reality.
Address performance early and directly: Make feedback specific and behavior-based, not tied to outcomes or personality. Give ideas on how to improve performance and communication.
Separate compassion from avoidance: There is no way around it. Difficult conversations need to happen despite discomfort, not when your top performers leave en masse. Its necessary for leaders to pair, not substitute, their support with accountability.
Create consequences that dont rely on relocation: You should not reward poor performance. If someone is unfit for the role, think about reducing or redesigning their leadership role. Their compensation, scope, or authority changes should reflect performance realities, not wish lists.
Invest in real development or make hard exit decisions: Measure progress based on pre-agreed milestones. If improvement doesnt happen, act decisively rather than extending the process indefinitely.
Audit roles that exist without outcomes: Do an inventory of the leadership roles and flag those positions without clear deliverables. If necessary, redesign or eliminate them, and align titles and influence with measurable contributions.
The mistake you accept becomes the new standard. Promotion by failure is rarely about one person. It mirrors what leaders tolerate, reward, and avoid. Ending promotion by failure is not about being harsher. Its about being honest, accountable, and fair.
Its time to stop using title inflation as conflict management.
