Amazon is preparing to cut as many as 30,000 corporate jobs.
The layoffs represent nearly 10 percent of the company’s roughly 3,50,000 corporate employees.
The layoffs would impact People Experience and Technology (PXT) division, operations, devices and services, and Amazon Web Services (AWS).
Amazon is preparing to cut as many as 30,000 corporate jobs starting Tuesday as part of a major cost-cutting effort, according to Reuters. The layoffs represent nearly 10 percent of the company’s roughly 3,50,000 corporate employees, making it Amazon’s largest round of job cuts since 2022, when around 27,000 positions were eliminated. The company currently employs about 1.55 million people in total.
SurveyThe latest round of layoffs will focus mainly on corporate teams, including the People Experience and Technology (PXT) division, operations, devices and services, and Amazon Web Services (AWS).
Managers of affected departments reportedly received training on Monday on how to communicate with employees who will be notified by email about the layoff. The company’s human resources division may see some of the deepest cuts, with reports suggesting a reduction of about 15 percent.
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CEO Andy Jassy has been leading efforts to simplify Amazon’s structure and reduce what he described as an excess of bureaucracy. Earlier this year, he introduced an anonymous complaint line that received about 1,500 responses and resulted in more than 450 process changes.
Jassy also warned in June that artificial intelligence (AI) tools could lead to more job cuts by automating routine and repetitive tasks. “This latest move signals that Amazon is likely realizing enough AI-driven productivity gains within corporate teams to support a substantial reduction in force,” Sky Canaves, an eMarketer analyst, was quoted as saying in the report. “Amazon has also been under pressure in the short-term to offset the long-term investments in building out its AI infrastructure.”
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Despite the layoffs, Amazon expects strong demand this holiday season and plans to hire 250,000 seasonal workers, according to the report.
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Ayushi Jain
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