Key Points
- Amazon is reportedly planning to cut up to 30,000 corporate jobs.
- The layoffs could begin as early as Tuesday. The cuts would represent nearly 10% of Amazon’s corporate workforce.
- The move is part of a broader push to cut costs and increase efficiency, partly through the use of AI.
- This would be the company’s largest round of layoffs since late 2022.
Amazon is reportedly planning to cut as many as 30,000 corporate jobs, with the layoffs set to begin as early as Tuesday. The move is part of the company’s broader effort to slash costs, compensate for overhiring during the pandemic, and become a leaner, more efficient organization.
The number, while a small fraction of Amazon’s massive 1.55 million total workforce, represents a significant 10% of its corporate employees. This would be the largest single job cut at the company since a round of 27,000 layoffs that began in late 2022.
The cuts are expected to hit a range of divisions, including human resources, devices, and operations. Managers of the affected teams were reportedly undergoing training on Monday on how to deliver the bad news.
This is the latest step in CEO Andy Jassy’s campaign to reduce bureaucracy at the sprawling company. He has also pointed to the increased use of artificial intelligence to automate tasks and drive efficiency, which he said would likely lead to further job cuts.
“This latest move signals that Amazon is likely realizing enough AI-driven productivity gains within corporate teams to support a substantial reduction in force,” said one analyst.
The news comes as Amazon’s cloud computing unit, AWS, has been losing ground to rivals Microsoft and Google, and is still recovering from a major internet outage last week.