Amazon layoffs 2025: Company to cut 14,000 corporate jobs in major restructuring drive

Amazon has announced plans to reduce its corporate workforce by 14,000 employees as part of a broader effort to streamline operations, eliminate layers of bureaucracy, and accelerate investment in its artificial intelligence (AI) strategy.

The move marks the company’s second-largest round of layoffs since 2022, when it cut 22,000 positions. As of 31 October 2024, Amazon employed nearly 1.2 million people globally, with over 360,000 working in corporate roles spanning administration, sales, and executive functions.

In a memo to staff, Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, said the restructuring is designed to make the company “even stronger” by reallocating resources towards its “biggest bets”. She acknowledged that the decision might raise questions given Amazon’s healthy performance, but said the move was essential in an environment where “the world is changing quickly.”

Galetti described AI as the most transformative technology since the advent of the internet, enabling faster innovation and creating new market opportunities. She explained that Amazon must operate more leanly, with fewer layers and greater ownership across teams, to move quickly for customers and the business.

The layoffs coincide with Amazon’s continued investment in AI and cloud infrastructure to expand compute capacity for its growing portfolio of AI-driven services. In a June memo, CEO Andy Jassy told employees that as the company integrates more generative AI and autonomous agents, some roles would become redundant while new types of jobs would emerge. He noted that efficiency gains from widespread AI adoption would likely reduce the overall corporate workforce in the coming years.

According to a Reuters report earlier this week, Amazon’s latest cuts could affect up to 30,000 positions across human resources, devices and services, operations, and other departments. Smaller job reductions have already taken place this year, including limited layoffs within the company’s communications and sustainability teams in January.

Amazon stated that affected employees will have 90 days to seek internal transfers, with recruiters prioritising internal candidates for open positions. Those unable to secure new roles will receive severance pay, outplacement assistance, and healthcare benefits.

Galetti added that the company will continue optimising its structure through 2026, removing additional layers and pursuing efficiency gains, while continuing to hire in high-growth and strategic areas aligned with its long-term AI ambitions.