Amazon cuts 14,000 corporate jobs as spending on artificial intelligence accelerates
Amazon plans to cut up to 30,000 corporate jobs to reduce expenses and address pandemic overhiring, impacting nearly 10% of its corporate workforce, sources said.
- Reuters reported that Amazon plans to eliminate up to 30,000 corporate roles starting Tuesday, affecting devices, advertising, Prime Video, Human Resources, and Amazon Web Services .
- After rapid pandemic hiring, Amazon says it must reduce roles because executives link cuts to generative AI and efficiency drives, with CEO Andy Jassy saying AI will reduce corporate jobs in coming years.
- Amazon employs roughly 1.55 million people with about 350,000 corporate roles, and the cuts equal about a 4% reduction in Amazon's corporate workforce, following 27,000 workers cut in 2022–2023.
- Most impacted employees will have 90 days to search internally, and those who cannot find new roles will get severance pay, outplacement services and health insurance, Galetti said.
- Amazon plans continued hiring in key areas in 2026 while investing about 10 billion in data center projects, with AWS reporting 17.5% growth, according to statements.
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The company joins other companies that have opted for the reduction of jobs and bet on Artificial Intelligence
Amazon to Slash 14,000 Corporate Jobs, Replace Employees with AI
Online retail giant Amazon will eliminate roughly 14,000 corporate positions in a sweeping restructuring effort aimed at cutting bureaucracy, flattening management layers, and redirecting resources toward artificial intelligence (AI) and other long-term initiatives.
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