Key Highlights
- Massive Scale: Amazon is reportedly planning to eliminate as many as 30,000 corporate positions, representing nearly 10% of its global corporate workforce.
- Strategic Shift: The cuts are part of CEO Andy Jassy’s broader initiative to trim expenses, reduce bureaucracy, and leverage Artificial Intelligence for increased productivity and automation.
- Widespread Impact: Several key divisions may be affected, including human resources (People Experience and Technology), devices and services, and operations.
- Economic Pressures: The move comes as Amazon aims to offset long-term AI infrastructure investments and faces slowing growth in its profitable cloud computing unit, AWS.
H2: Amazon Prepares for Largest Job Cut Since 2022
In a significant move to streamline operations and cut costs, Amazon is preparing to lay off as many as 30,000 corporate employees, with notifications expected to begin as early as Tuesday. According to sources familiar with the matter, this would be the company’s most substantial workforce reduction since it eliminated around 27,000 jobs starting in late 2022.
The planned cuts represent a small fraction of Amazon’s 1.55 million total employees but constitute a major blow to its roughly 350,000-strong corporate staff. The decision is seen as a response to overhiring during the pandemic’s peak demand and a strategic pivot towards a leaner, more efficient corporate structure. An Amazon spokesperson has declined to comment on the matter.
H3: CEO Andy Jassy’s Push for Efficiency and AI
The layoffs align with CEO Andy Jassy’s stated goal of reducing what he has called an “excess of bureaucracy” within the tech giant. Jassy has been actively seeking to identify and eliminate inefficiencies, even installing an anonymous complaint line that has reportedly led to over 450 process changes.
Furthermore, Jassy has openly stated that the increasing use of artificial intelligence will likely lead to further job cuts by automating repetitive tasks. Sky Canaves, an eMarketer analyst, noted, “This latest move signals that Amazon is likely realizing enough AI-driven productivity gains within corporate teams to support a substantial reduction in force.”
H4: Navigating a Shifting Landscape
While the full scope of the layoffs remains fluid, the human resources division is rumored to be a potential target. This corporate downsizing contrasts sharply with Amazon’s holiday season preparations, as the company announced plans to hire 250,000 seasonal workers to staff warehouses, matching its hiring figures from the previous two years.
The restructuring comes as Amazon’s cloud computing unit, AWS, reported sales growth that lagged behind competitors like Microsoft Azure and Google Cloud. Despite the looming job cuts, the market has responded positively, with Amazon shares rising 1.3% to $227.11 ahead of its third-quarter earnings report on Thursday.
Image Referance: https://www.reuters.com/business/world-at-work/amazon-targets-many-30000-corporate-job-cuts-sources-say-2025-10-27/