Amazon has confirmed it will slash about 14,000 corporate jobs worldwide, focusing on making the company leaner as it ramps up artificial intelligence use. This move, announced on October 28, 2025, comes amid growing pressure to cut costs and invest in new tech, with Chief Executive Andy Jassy pointing to AI as a key driver for fewer roles.
Details of the Latest Layoffs
The cuts affect around 4 percent of Amazon’s corporate workforce, targeting areas like logistics, payments, video games, and cloud computing. Company leaders say this is part of a push to reduce bureaucracy and remove management layers.
Affected employees get at least 90 days to find new roles inside Amazon, along with severance packages and support. This follows earlier reductions in 2023 and 2024, when the company let go of over 27,000 workers during economic slowdowns.
Insiders report that the layoffs started rolling out this week, with more expected into 2026. Amazon’s total workforce stands at about 1.5 million, but these changes hit office-based staff hardest.
Why AI is Driving These Changes
Amazon’s top executives, including Jassy, have openly said AI tools can handle tasks once done by people, leading to a smaller overall team. The company is pouring billions into generative AI to stay ahead in e-commerce and cloud services.
This fits a pattern seen across tech giants. For example, firms like Microsoft and Google have also trimmed jobs while boosting AI investments to improve efficiency.
Here are some key areas where AI is replacing human work at Amazon:
- Warehouse automation for faster picking and packing.
- Customer service chatbots handling basic queries.
- Data analysis tools that speed up decision-making.
Experts note that AI adoption could save Amazon up to 20 percent in operational costs over the next few years, based on industry reports.
Impact on Workers and Departments
Many employees learned about the cuts through internal memos, sparking concerns about job security in a tough market. Those affected include mid-level managers and specialists in non-core areas.
The cloud division, a major profit center, faces some reductions to streamline operations. Video game teams have seen repeated hits, reflecting Amazon’s struggles in that space.
One table shows how these layoffs compare to past ones:
| Year | Jobs Cut | Main Reason |
|---|---|---|
| 2023 | 18,000 | Economic downturn |
| 2024 | 9,000 | Cost-cutting |
| 2025 | 14,000 | AI efficiency |
Workers report mixed feelings, with some seeing opportunities in retraining programs Amazon offers for AI-related skills.
This wave adds to broader unemployment worries in tech, where over 100,000 jobs vanished industry-wide in 2025 alone.
Broader Trends in Tech Job Market
Amazon’s actions mirror moves by other companies racing to adopt AI. Ford and JPMorgan have announced similar cuts, citing automation as a factor.
Economists predict AI could displace up to 300 million jobs globally by 2030, but it might create new ones in fields like AI ethics and development.
In the US, tech layoffs hit a peak this year, with California seeing the most impact due to hubs like Seattle, home to Amazon’s headquarters.
Reactions from Experts and Investors
Industry watchers praise the strategy for boosting Amazon’s stock, which rose 3 percent after the announcement. Investors see it as a smart way to fund AI growth without raising prices.
Critics, including labor groups, argue it overlooks human costs and call for better protections. One analyst noted that while AI promises efficiency, rushed implementations can lead to errors and lost expertise.
Public sentiment on social media shows concern, with many users debating if AI will reshape work for good or bad.
What Happens Next for Amazon
Looking ahead, Amazon plans more AI integrations, like advanced robots in warehouses and smarter recommendation systems. Jassy hinted at further workforce adjustments to keep the company agile.
Employees and job seekers should watch for openings in high-growth areas like AWS cloud services. The firm aims to end 2025 with a stable headcount around 1.5 million, focusing on quality over quantity.
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