Amazon is set to , marking the largest layoff in the company’s history, as it pushes to cut costs, streamline operations, and accelerate automation.
Notifications will reportedly begin going out via email this week. The layoffs will affect nearly 10% of Amazon’s 350,000 corporate employees, though that’s only a fraction of its 1.55 million total workforce.
The cuts are sweeping across business units—from Amazon Web Services (AWS) and operations to devices, services, and human resources (People Experience and Technology or PXT). Insiders told news agency Reuters that the PXT division alone could lose up to 15% of its staff.
CEO Andy Jassy is pushing a “lean management” agenda to remove layers of bureaucracy, strengthen accountability, and leverage AI-driven efficiency. His initiatives have already led to hundreds of process changes and the elimination of several middle-management roles.
Amazon has also enforced a strict five-day office rule, but the return-to-office push didn’t lead to as many voluntary exits as expected — forcing management to initiate layoffs instead. Employees who fail to comply are reportedly being treated as having “voluntarily quit,” often without severance.
Analysts say the move signals that AI automation is reshaping Amazon’s corporate structure, with routine and back-office roles being replaced by machine learning tools.
Despite the layoffs, Amazon’s stock has remained steady—even inching up—as Wall Street applauds the company’s focus on efficiency and margin improvement.
The company continues to expect another strong holiday season, hiring 250,000 seasonal workers to handle increased demand.
Amazon’s sweeping job cuts also reflect a broader trend across Big Tech, with Microsoft, Meta, Google, Salesforce, and Intel all downsizing this year, citing pandemic-era overhiring and AI productivity gains.