Tech giant Amazon announced on Wednesday that it has eliminated 16,000 roles globally. This marks the company’s second significant round of layoffs in just
three months, highlighting a broader restructuring effort following aggressive pandemic-era hiring and a growing reliance on artificial intelligence-driven tools, according to a Reuters report. The latest cuts come as Amazon reassesses its corporate structure amid shifting economic realities and rapid technological change. Reuters had reported last week that the company was preparing a second wave of job reductions as part of a wider plan to remove roughly 30,000 corporate positions. The layoffs are expected to impact teams across Amazon Web Services (AWS), retail operations, Prime Video, and human resources. Second Round Of Layoffs This latest move follows a previous reduction of 14,000 white-collar roles announced in late October. At that time, CEO Andy Jassy stressed the need to simplify the organisation by removing layers of management and reducing internal complexity. The goal, he said, was to make Amazon more agile and efficient as it navigates a slower growth environment. Addressing employee concerns about the frequency of job cuts, Amazon leadership sought to temper fears of ongoing 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,” said Beth Galetti, senior vice president of people experience and technology at Amazon, the report added. Artificial Intelligence Reshaping The Workforce The layoffs also reflect the growing influence of artificial intelligence across corporate functions. Advances in AI assistants are allowing companies to automate tasks that once required large teams, ranging from routine administrative work to advanced software development. This shift has accelerated adoption across industries and is reshaping workforce needs. Jassy had previously acknowledged that expanding AI usage would inevitably lead to greater automation and fewer traditional corporate roles. That view has been echoed more broadly across the tech sector. Impact On Amazon’s Workforce Even with the planned 30,000 job reductions, the cuts represent only a fraction of Amazon’s total workforce of 1.58 million employees. However, they amount to nearly 10 per cent of the company’s corporate staff. Most Amazon employees continue to work in fulfilment centres and warehouses. Amazon’s actions mirror a broader trend among tech giants. Companies such as Meta Platforms and Microsoft expanded rapidly during the pandemic-driven surge in demand and are now pulling back.
