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Amazon layoffs: Company to cut thousands of jobs as AI reshapes its global workforce
The exact number of job losses and the timeline for the cuts have not yet been disclosed.
The exact number of job losses at Amazon, and the timeline for the cuts have not yet been disclosed.
Amazon is preparing for another major round of job cuts, with around 15% of its human resources staff expected to be laid off as the company intensifies its focus on artificial intelligence, according to a Fortune report citing multiple sources familiar with the plans.
The layoffs will primarily impact Amazon’s People eXperience and Technology (PXT) division — responsible for recruiting, HR operations, and technology — but other departments are also expected to be affected. The exact number of job losses and the timeline for the cuts have not yet been disclosed.
Amazon’s PXT team, which reports to Senior Vice-President Beth Galetti, employs more than 10,000 people globally. The move marks another step in the tech giant’s strategy to cut costs and channel greater investment into AI infrastructure.
The company plans to spend over $100 billion in capital expenditure this year, with the majority directed towards building cloud and AI data centres under Amazon Web Services (AWS). Earlier in 2024, Amazon had already trimmed staff across its consumer devices, Wondery podcast, and AWS divisions.
CEO Andy Jassy has been vocal about AI’s transformative role within the company. In a June email to employees — later shared on Amazon’s corporate blog — he warned that the adoption of AI would likely lead to workforce reductions, noting that “there won’t be room on the bus for everyone.”
Jassy urged employees to embrace the technology, stating that those who acquire AI expertise and contribute to internal AI initiatives “will be well-positioned to have high impact and help reinvent the company.”
This latest move follows Amazon’s historic layoffs between late 2022 and 2023, when over 27,000 corporate roles were eliminated as the company adjusted to post-pandemic shifts in consumer behaviour and digital demand.
Despite these corporate cuts, Amazon announced on Tuesday that it will continue its annual holiday hiring spree, adding 250,000 seasonal warehouse and logistics workers across the United States to meet increased festive demand.
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