Amazon cuts 16,000 jobs globally to undo pandemic-era hiring amid AI push
- On Wednesday, Amazon confirmed it is cutting another 16,000 corporate employees globally, the second phase of a restructuring totaling about 30,000 job cuts since October, announced by Beth Galetti, senior vice president of people experience and technology.
- Company leaders say cuts aim to reduce bureaucracy and speed decision-making, with Andy Jassy, CEO, linking workforce shrinkage to AI-driven efficiency and a cultural reset.
- Amazon is discontinuing its Amazon One biometric palm recognition service and will close all Amazon Go and Amazon Fresh stores, while Galetti said most US employees get 90 days to search internally with severance and health benefits.
- Local leaders warned the Downtown Seattle Association and Jon Scholes said layoffs starting this week, possibly from January 27, could reduce foot traffic near offices in the Seattle region, which employs around 50,000 corporate workers.
- The move mirrors a broader Big Tech trend of cutting jobs while boosting AI investment as Amazon reports its latest quarterly earnings on Feb. 5, with analysts noting AWS may support the stock.
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374 Articles
The decision, which initially leaked into U.S. media, was officially communicated to the company’s employees on Wednesday morning. In an internal message later posted on the group’s website, Vice President of Human Resources and Technology, Beth Galetti, confirmed the scope of the measure.
Amazon announced plans to cut 16,000 jobs, UPS prepares to cut 30,000
Amazon announced plans to cut about 16,000 jobs, marking its largest reduction since 2023. The company said it also plans to close all "Amazon Go" and "Amazon Fresh" stores, shifting its focus to grocery delivery and Whole Foods.
The e-commerce giant thus brings the number of layoffs to 30,000 within a few months. The effect of artificial intelligence
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