Amazon to cut 14,000 corporate jobs as it shifts focus to AI and cloud expansion

Amazon, on Tuesday, announced plans to cut about 14,000 corporate jobs, or roughly 4% of its corporate workforce, as part of a company-wide reorganisation focused on artificial intelligence and efficiency.

The announcement was made on Tuesday, October 28, 2025, in an internal message from Beth Galetti, Senior Vice President of People Experience and Technology. She said the cuts are part of ongoing efforts to “operate more like the world’s largest startup,” streamline operations, and “ensure we’re investing in our biggest bets and what matters most to our customers’ current and future needs.”

Employees affected by the layoffs will be notified on Tuesday. Most will have 90 days to seek new roles within Amazon, while those unable or unwilling to do so will receive severance pay, health insurance benefits, and outplacement services.

Amazon employs about 350,000 corporate workers and 1.56 million people overall. The company said it will continue hiring in strategic areas even as it trims elsewhere.

The move comes as Amazon increases spending on artificial intelligence and cloud infrastructure. Earlier this year, CEO Andy Jassy said he expected generative AI to reduce Amazon’s corporate workforce over time. The company currently has more than 1,000 AI projects in progress, with plans to expand significantly.

Amazon has committed roughly $10 billion each to new data centre projects in Mississippi, Indiana, Ohio, and North Carolina to support growing demand for AI-driven products and services. It also plans to invest another $10 billion in a new campus in North Carolina focused on cloud and AI operations.

Jassy has positioned AI as central to Amazon’s future growth, saying in May that “every customer experience will be reinvented with AI.” He cited ongoing work on more than 1,000 internal AI applications, including the company’s next-generation voice assistant, Alexa+.