Amazon announced on Tuesday that it will lay off about 14,000 corporate employees as part of a major restructuring plan influenced by the growing use of artificial intelligence. The company said more job cuts are expected next year.
In a note to staff published on its website, Amazon said the move aims to “reduce bureaucracy, remove layers, and shift resources to invest in our biggest priorities.”
Reuters reported on Monday that Amazon was preparing to cut up to 30,000 corporate roles starting Tuesday. The layoffs come as the tech giant adjusts after over-hiring during the surge in demand caused by the COVID-19 pandemic.
At the end of last year, Amazon employed about 1.56 million full-time and part-time workers worldwide, with around 350,000 in corporate positions.
Over the past two years, Amazon has gradually reduced staff across several departments, including its books, devices, and Wondery podcast divisions. The company said these steps have already improved efficiency and decision-making.
Beth Galetti, Senior Vice President of People Experience and Technology, said Amazon will continue balancing its workforce by “reducing in some areas and hiring in others” as it heads into 2026.
Affected employees will have 90 days to seek new internal roles, with recruiting teams giving them priority for open positions.
The internal memo also reaffirmed CEO Andy Jassy’s commitment to simplifying management structures and relying more on AI-driven operations. In June, Jassy noted that AI adoption would lead to a smaller corporate workforce in the coming years.
Amazon is projected to invest around $118 billion in capital expenditures this year, with a large portion dedicated to expanding its AI and cloud computing infrastructure.
