American technology and e-commerce behemoth Amazon is reportedly gearing up for a second significant round of layoffs next week, with plans to slash its corporate workforce by a staggering 30,000 employees. This move, as reported by Reuters citing internal sources, marks one of the largest job reduction initiatives in the company's history, potentially affecting white-collar roles across multiple key divisions.
Scope and Impact of the Layoffs
The impending job cuts are expected to target various departments, including Amazon Web Services (AWS), the People Experience and Technology unit (which handles human resources), Prime Video, and retail operations. Sources indicate that these plans could still be subject to change, but the scale suggests a major restructuring effort. If fully implemented, the 30,000 layoffs would constitute nearly 10% of Amazon's corporate workforce, though this represents only a small fraction of its total 1.58 million employees, most of whom work in fulfillment centers and warehouses.
Historical Context and Previous Reductions
This latest round follows a similar cut in October of last year, when Amazon eliminated 14,000 white-collar jobs, approximately half of the current target. The company had previously trimmed about 27,000 jobs in 2022, making this potential layoff the largest in Amazon's three-decade existence. Affected workers from the October round were placed on a 90-day payroll period, allowing them to seek internal transfers or external employment, with this grace period set to expire soon.
AI and Cultural Factors Behind the Cuts
The rationale behind these layoffs has been linked to both technological advancements and organizational culture. In an internal communication, Amazon attributed the October job cuts to the rise of artificial intelligence software, describing AI as "the most transformative technology we've seen since the Internet." However, CEO Andy Jassy later clarified during a third-quarter earnings call that the reductions were "not really financially driven and it's not even really AI-driven." Instead, he pointed to cultural issues, citing excessive bureaucracy and layers within the company as primary drivers.
Jassy had earlier in 2025 anticipated a shrinkage in Amazon's corporate workforce due to efficiencies gained from AI adoption. Corporations, including Amazon, are increasingly leveraging AI to automate routine tasks and write software code, aiming to reduce costs and minimize reliance on human labor. Amazon showcased its latest AI models at the annual AWS cloud computing conference in December, highlighting its commitment to this technological shift.
Response and Future Implications
Amazon has declined to comment on the reported layoff plans, maintaining a stance of non-disclosure. The move reflects broader trends in the tech industry, where companies are balancing innovation with workforce optimization. As Amazon continues to evolve, these layoffs could signal a strategic pivot towards a leaner corporate structure, driven by both AI integration and efforts to streamline operations.
The full impact of these job cuts remains to be seen, but they underscore the ongoing challenges faced by major corporations in adapting to rapid technological changes and market demands.
