In a significant corporate restructuring move, US-based technology and e-commerce behemoth Amazon is preparing to implement a second round of substantial job cuts as early as next week. According to a report from Reuters news agency, this development forms part of the company's broader strategic initiative to reduce its workforce by approximately 30,000 employees.
Continuation of Workforce Reduction Strategy
The upcoming layoffs follow Amazon's previous workforce reduction in October last year, when the company eliminated around 14,000 white-collar positions. That earlier round represented roughly half of the total 30,000 job cuts targeted by the company. The forthcoming reductions are anticipated to be of similar magnitude to last year's cuts and could commence as soon as Tuesday, according to agency reports.
This latest round of job eliminations will impact multiple departments across the Jeff Bezos-founded corporation. The move signifies one of the most substantial workforce reductions occurring at the beginning of the new year, demonstrating that last year's trend of corporate downsizing has extended into 2026.
Departments Expected to Face Impact
The mass layoffs are projected to affect employees working across several key divisions of the company. Sources familiar with the development indicate that Amazon Web Services (AWS), retail operations, Prime Video, and the human resources division known as People Experience and Technology will bear the brunt of these reductions, though the complete scope remains uncertain.
These sources have further cautioned that the specific plans are not yet finalized, and details regarding the exact number of positions to be eliminated and their distribution across departments could undergo changes before implementation.
Historical Context and Corporate Implications
The full 30,000 job reductions would constitute a relatively small percentage of Amazon's total workforce of 1.58 million employees. However, this figure represents nearly 10% of the company's corporate workforce, highlighting the disproportionate impact on white-collar positions compared to fulfillment center and warehouse employees who constitute the majority of Amazon's labor force.
If implemented as planned, this workforce reduction would mark the largest layoff event in Amazon's three-decade history. The company's previous most significant job cuts occurred in 2022, when approximately 27,000 employees were affected by similar restructuring measures.
Artificial Intelligence Integration as Contributing Factor
During the October job cuts, Amazon initially cited the increasing adoption of artificial intelligence software as a primary rationale for the workforce reductions. However, CEO Andy Jassy later provided clarification during the company's third-quarter earnings call, stating that the decision was "not really financially driven and it's not even really AI-driven."
Jassy attributed the restructuring to organizational culture concerns, specifically referencing excessive bureaucracy within the company. "You end up with a lot more people than what you had before, and you end up with a lot more layers," he explained, suggesting that streamlining operations and reducing administrative complexity were key objectives.
Earlier in 2025, Jassy had indicated his expectation that Amazon's corporate workforce would undergo gradual reduction over time as the company achieved greater efficiencies through AI integration into its operations.
Broader Industry Trends in AI Adoption
Amazon's workforce restructuring occurs within a broader corporate landscape where artificial intelligence integration is accelerating rapidly. Companies across multiple sectors are incorporating AI into their software development lifecycles, progressing beyond basic code autocompletion tools to implementing autonomous AI agents capable of planning, executing, and debugging code independently.
This technological shift is primarily driven by corporate objectives to enhance productivity, reduce operational costs, and accelerate output generation, according to multiple industry analyses and reports. The trend reflects a fundamental transformation in how technology companies structure their workforce and allocate resources in response to evolving technological capabilities.
