Amazon to Slash Up to 30,000 Corporate Jobs as AI and Cost Pressures Mount

Amazon is preparing to cut as many as 30,000 corporate jobs this week, marking one of its largest workforce reductions since 2022. The decision reflects a changing tech landscape where artificial intelligence, cost-cutting, and efficiency drives are reshaping how global giants like Amazon operate.

The Biggest Job Cuts Since 2022

According to reports, the cuts represent about 10% of Amazon’s corporate staffroughly 30,000 out of 350,000 employeesand will begin as early as Tuesday. While that’s a fraction of its total 1.55 million-strong global workforce, it signals a major corporate downsizing aimed at correcting the over-hiring that took place during the pandemic boom.

Amazon’s previous large-scale layoff in late 2022 saw 27,000 roles eliminated. This new round affects several departments, including human resources, operations, devices, services, and its cloud computing arm, Amazon Web Services (AWS).

Managers have reportedly been asked to attend training sessions on how to communicate the layoffs to affected staff, with email notifications expected to go out this week.

Why Amazon Is Making Cuts Now

CEO Andy Jassy’s ongoing effort to “simplify bureaucracy” and boost productivity has been a key driver behind these cuts. Since taking the helm, Jassy has pushed to streamline management layers, introduce an anonymous inefficiency reporting line, and restructure various divisions to focus on speed and results.

But the most disruptive factor is AI. Earlier this year, Jassy noted that automation would inevitably replace many routine and repetitive tasks across Amazon’s departments. Analysts say this latest wave of job cuts suggests that those AI-driven productivity gains are now being realized.

“Amazon is likely seeing enough AI efficiency within corporate teams to support a substantial reduction in force,” said Sky Canaves, an eMarketer analyst, adding that the company also faces pressure to balance its heavy AI investments with cost discipline.

The AI And Efficiency Era

Amazon’s focus on artificial intelligence isn’t just internal. The company has been expanding its AI infrastructure to compete with Microsoft Azure and Google Cloud, though AWSAmazon’s biggest profit engineis growing at a slower pace.

In the second quarter, AWS reported $30.9 billion in sales, up 17.5%, but lagging behind Azure’s 39% and Google Cloud’s 32%. Despite that, the company continues to pour resources into AI tools that could redefine how both employees and customers engage with its platforms.

Tension Over Return-To-Office Rules

Adding to the unrest, Amazon’s strict five-day return-to-office policy has frustrated some workers. Insiders say the policy failed to drive the voluntary attrition the company expected, leading to further layoffs. Employees who live far from offices or haven’t consistently swiped in have reportedly been told they’ve “voluntarily quit” without severancea move that has sparked criticism on social media.

Public Reaction And Wider Context

Across tech forums and social platforms like Reddit and X, reactions have been mixed. Some employees say the writing was on the wall after months of budget tightening and restructuring, while others have expressed anger at the timingcoming just before the festive season.

Globally, tech layoffs are once again surging. According to Layoffs.fyi, over 98,000 tech workers have lost their jobs this year across 216 companies. Amazon’s decision adds another layer to that trend, highlighting how even the biggest players are recalibrating for an AI-first economy.

What’s Next For Amazon

Despite the cuts, Amazon is gearing up for another massive holiday season. The company plans to hire 250,000 temporary workersjust as it did the past two yearsto meet demand in warehouses and logistics.

Amazon shares rose 1.2% on Monday to $226.97 ahead of its third-quarter earnings report due this week. Analysts are watching closely to see whether the cost cuts and AI integration will pay off in profitability and long-term stability.

While the layoffs signal a sobering shift for thousands of corporate workers, they also reflect a larger truth about the modern tech economy: automation is no longer the futureit’s here, and it’s rewriting the rules of work.

{Source:Tech Central }

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