Amazon cuts 16,000 jobs worldwide in latest restructuring drive

Amazon said it was cutting 16,000 jobs worldwide in a second major round of layoffs in three months, as the company restructures to address pandemic-era over-hiring and increases its adoption of artificial intelligence tools, according to a Reuters report.

Reuters had reported last week that Amazon was planning another wave of job cuts as part of a broader effort to eliminate around 30,000 corporate roles. The layoffs are expected to impact employees across Amazon Web Services, retail, Prime Video and human resources divisions, Reuters reported.

When the first phase of layoffs was announced in October, chief executive Andy Jassy said the decision was not driven by short-term financial pressure or artificial intelligence, but by cultural issues. He said years of rapid hiring had added too many layers of management, slowing decision-making. Analysts note that the resulting savings are likely to be redirected towards Amazon’s priorities, including generative AI and automation within AWS.

Amazon’s layoffs form part of a broader restructuring and efficiency programme launched by chief executive Andy Jassy during the COVID-19 pandemic. The company has been trimming its workforce since 2022, cutting more than 27,000 positions over the past two years, with recent rounds affecting its cloud, retail, devices and communications divisions.

Jassy has previously stated that he intends to streamline Amazon’s corporate hierarchy by reducing managerial layers to “remove complexity and flatten organisations.”

Speaking to employees in June 2025, Jassy also suggested that further reductions could follow as Amazon integrates generative AI into its operations, saying the company “will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs.”

According to a Reuters report earlier in 2025, Amazon’s overall job cuts were predicted to 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 had stated last year 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 would receive severance pay, outplacement assistance, and healthcare benefits.