Amazon has confirmed plans to cut approximately 14,000 corporate roles globally, marking one of its largest rounds of layoffs in recent years. The company says the decision reflects its push to operate “more leanly” while investing heavily in artificial intelligence (AI) and other high-impact areas.
The announcement, first reported by the BBC and detailed in an internal memo by Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, emphasised that the move aims to strengthen the company’s agility and focus.
“This is about becoming even stronger — reducing layers, increasing ownership, and ensuring we’re investing in our biggest bets and what matters most to our customers’ current and future needs,” Galetti said in a note to employees.
Strategic shift toward AI and efficiency
The restructuring comes as Amazon doubles down on AI initiatives across its retail, AWS (Amazon Web Services), and devices divisions. Galetti described AI as “the most transformative technology we’ve seen since the Internet,” adding that it is enabling innovation “faster than ever before.”
Amazon’s move follows a wave of AI-driven restructuring across the tech industry, as automation reshapes operations and redefines workforce needs. CEO Andy Jassy had previously hinted that AI would both replace and create jobs, noting that “fewer people will be needed for some tasks, while new roles will emerge around AI capabilities.”
Support for impacted employees
Amazon stated that it is “working hard to support everyone whose role is impacted.” Those affected will receive transition support, including severance pay, outplacement assistance, and up to 90 days to explore new roles within the company.
Broader workforce trends
Amazon, which employs over 1.5 million people worldwide, including around 350,000 in corporate roles, has carried out multiple rounds of layoffs since 2022. The company cut 27,000 positions between late 2022 and mid-2023 as part of efforts to recalibrate post-pandemic growth.
Despite the current reduction, Amazon noted that hiring will continue in select strategic areas through 2026 as it aligns its workforce with emerging priorities in AI, cloud computing, and logistics automation.
Industry implications
Analysts view Amazon’s decision as part of a larger tech industry trend where companies are restructuring to capture AI’s productivity benefits. Ben Barringer, Technology Analyst at Quilter Cheviot, noted that “job losses are inevitable as AI reshapes how large organisations operate — especially those with deep data ecosystems like Amazon.”
Amazon is expected to share more about its reorganisation strategy when it releases financial results for the quarter ending September 30, 2025, later this week.
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