Amazon Announces 16,000 Global Job Cuts in Second Major Layoff Round
Amazon has confirmed it is cutting 16,000 jobs worldwide in a significant restructuring move, marking the second major round of layoffs at the company within just three months. This decision comes as the tech giant seeks to undo pandemic-era over-hiring while simultaneously expanding its adoption of artificial intelligence tools across operations.
Restructuring After Pandemic Hiring Spree
The latest job reductions follow Amazon's earlier cut of 14,000 white-collar positions in late October 2025. CEO Andy Jassy had emphasized at that time the company's need to eliminate excessive bureaucracy by trimming operational levels and reducing managerial positions. These layoffs are part of a broader corporate goal to trim approximately 30,000 corporate roles, as first reported by Reuters last week.
The affected departments include Amazon Web Services, retail operations, Prime Video, and human resources. While the 30,000 planned job cuts represent a small portion of Amazon's total workforce of 1.58 million employees, they constitute nearly 10% of the company's corporate workforce. The majority of Amazon's employees work in fulfillment centers and warehouses.
AI Adoption Changing Workforce Dynamics
The job cuts underscore how artificial intelligence is fundamentally transforming corporate workforce dynamics across the technology sector. Significant improvements in AI assistants are enabling enterprises to execute duties ranging from routine administrative tasks to complex coding problems with unprecedented speed and precision, driving widespread adoption throughout corporate environments.
Jassy had indicated last summer that increased use of AI tools would lead to more automation of duties, inevitably resulting in corporate job losses. This perspective aligns with observations from top executives at the World Economic Forum's annual meeting earlier this month, who noted that while certain jobs would disappear due to AI implementation, new positions would simultaneously emerge within evolving technological landscapes.
Corporate Reassurance Amid Workforce Changes
Beth Galetti, senior vice president of people experience and technology at Amazon, addressed employee concerns about ongoing job reductions. "Some of you might ask if this is the beginning of a new rhythm – where we announce broad reductions every few months. That's not our plan," Galetti stated, seeking to reassure the workforce about the company's long-term stability.
Her comments come as technology giants including Amazon, Meta Platforms (parent company of Facebook), and Microsoft continue restructuring their workforces after sharply ramping up hiring during the COVID-19 pandemic's demand surge. These companies are now adjusting to post-pandemic market conditions while integrating advanced technologies into their operations.
Automation and Efficiency Investments
Beyond AI implementation, Amazon has been investing significantly in robotics at its warehouses to accelerate packaging and delivery processes for its e-commerce segment. These technological advancements aim to reduce reliance on human labor while simultaneously cutting operational costs and improving efficiency throughout the supply chain.
The company is scheduled to report its quarterly financial results next week, providing further insight into how these workforce changes and technological investments are impacting Amazon's overall business performance and strategic direction in an increasingly competitive digital marketplace.