Amazon Unveils Plan to Slash 14,000 Corporate Jobs Amid Ongoing Cost-Cutting Efforts
In a move that underscores the company's efforts to adapt to a rapidly changing business landscape, Amazon has confirmed plans to lay off 14,000 corporate workers. This news comes as part of a broader wave of job cuts expected to impact tens of thousands of employees across various industries.
As the retail giant seeks to trim costs and streamline its operations, CEO Andy Jassy had previously warned white-collar employees that their jobs could be taken by artificial intelligence. In a memo to employees, senior vice-president Beth Galetti described the layoffs as part of an effort to "get even stronger" by reducing bureaucracy and investing in areas that drive customer value.
While the 14,000 job losses represent a small fraction of Amazon's global workforce of 1.55 million employees, they are a significant chunk of its roughly 350,000 corporate staff. The company has declined to comment on reports of wider layoffs, but Galetti announced the news in a memo to employees, stating that Amazon will continue to identify opportunities for efficiency gains and process improvements.
Shares in Amazon rose 1.2% on Monday following the initial reports of job cuts, as investors anticipated the company's efforts to address rising costs and maintain its competitive edge in a rapidly evolving market. Other tech giants have also faced similar challenges in recent years, with Microsoft, Meta, and Alphabet all undergoing significant layoffs.
As AI agents and generative AI systems become increasingly prevalent, Amazon is seeking to adapt by reducing its reliance on human employees in certain areas. The company has been trimming smaller numbers of jobs across multiple divisions, including devices, communications, podcasting, and operations.
The impact of these job cuts will be felt across various teams within Amazon, with some reports suggesting that up to 15% of the firm's HR roles could be affected. Managers of affected teams have been required to undergo training on how to communicate with staff following notifications of the layoffs, which are expected to start going out via email tomorrow morning.
As Jassy continues his efforts to reduce bureaucracy and increase efficiency, Amazon is navigating a complex landscape shaped by technological advancements and shifting consumer behaviors. While the company's focus on customer value remains unwavering, its need to adapt to a rapidly changing business environment has led it to take decisive action.
In a move that underscores the company's efforts to adapt to a rapidly changing business landscape, Amazon has confirmed plans to lay off 14,000 corporate workers. This news comes as part of a broader wave of job cuts expected to impact tens of thousands of employees across various industries.
As the retail giant seeks to trim costs and streamline its operations, CEO Andy Jassy had previously warned white-collar employees that their jobs could be taken by artificial intelligence. In a memo to employees, senior vice-president Beth Galetti described the layoffs as part of an effort to "get even stronger" by reducing bureaucracy and investing in areas that drive customer value.
While the 14,000 job losses represent a small fraction of Amazon's global workforce of 1.55 million employees, they are a significant chunk of its roughly 350,000 corporate staff. The company has declined to comment on reports of wider layoffs, but Galetti announced the news in a memo to employees, stating that Amazon will continue to identify opportunities for efficiency gains and process improvements.
Shares in Amazon rose 1.2% on Monday following the initial reports of job cuts, as investors anticipated the company's efforts to address rising costs and maintain its competitive edge in a rapidly evolving market. Other tech giants have also faced similar challenges in recent years, with Microsoft, Meta, and Alphabet all undergoing significant layoffs.
As AI agents and generative AI systems become increasingly prevalent, Amazon is seeking to adapt by reducing its reliance on human employees in certain areas. The company has been trimming smaller numbers of jobs across multiple divisions, including devices, communications, podcasting, and operations.
The impact of these job cuts will be felt across various teams within Amazon, with some reports suggesting that up to 15% of the firm's HR roles could be affected. Managers of affected teams have been required to undergo training on how to communicate with staff following notifications of the layoffs, which are expected to start going out via email tomorrow morning.
As Jassy continues his efforts to reduce bureaucracy and increase efficiency, Amazon is navigating a complex landscape shaped by technological advancements and shifting consumer behaviors. While the company's focus on customer value remains unwavering, its need to adapt to a rapidly changing business environment has led it to take decisive action.
. I mean, you gotta keep up with AI and tech advancements, right? They're just trying to get stronger like Beth Galetti said 
. It's all about customer value and streamlining operations. I feel for the people losing their jobs, but at least they'll have a decent severance package 
. Shares going up is a good sign, so that's something 
. Other companies are doing it too, so Amazon's not alone in this 
think amazon is just trying to stay competitive in an industry that's all about being efficient... but what happens to ppl who get laid off? 
they're not just losing jobs, they're losing stability & security too... and its not like they can just upskill or reskill into a new role overnight 
.
i mean, ceo jassy was talking about how ai agents and generative ai systems will take over human jobs...but what about all the new jobs that are created when a company adopts a more efficient system? 
boom gone 
It's like Amazon's trying to streamline everything, but is this gonna hurt the quality of work in the long run? I mean, we're talking AI and all that, so they can automate stuff, but at what cost? I'm not saying it's a bad thing for the company or anything, but these workers are people too. They got families, bills to pay... It's just hard to see 'em gettin' the axe like this.
anyway back to this lol so yeah i guess its just another example of how AI is changing everything we thought we knew about work rn
. I mean, 15% of HR roles could be affected? That's a big chunk of people 
. It's not just about cutting costs, it's about how this affects the people on the ground 
. What's next, are they gonna automate customer service too? 
. The retail landscape is changing so fast, and we need companies like Amazon to stay ahead of the curve 
. It'll be interesting to see how this plays out 
.
if anything, they should be investing more in hiring talented people who can create innovative solutions that complement their tech 
at least they got a memo out of it, right? 
. It's crazy how AI is changing everything, even for people with skills and experience. I remember when I first heard about automation taking over some jobs, I thought it would happen to me too 
. But now that it's happening in big companies like Amazon, it's like a wake-up call 
... We need to be prepared for this new reality 
It's all about adaptation, I guess, but can't they find ways to, like, reduce costs without cutting so many jobs?