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Amazon (AMZN) is poised to announce a significant reduction in its corporate workforce, commencing Tuesday, according to sources familiar with the matter. The expected layoffs, potentially impacting up to 30,000 employees, would represent the most extensive corporate restructuring in the company’s history, touching upon nearly all business segments.
Details remain confidential, but sources indicate that affected employees will begin receiving notifications via email Tuesday morning. While Amazon has declined to officially comment, the scale of the proposed cuts underlines a strategic shift within the tech giant.
As the nation’s second-largest private employer, with a global workforce exceeding 1.54 million as of Q2 2025, the potential impact of these layoffs is considerable. Although the bulk of Amazon’s vast employee base comprises warehouse staff, its corporate division accounts for roughly 350,000 positions.
These anticipated cuts would also be the most substantial in the tech sector since 2020, according to data compiled by Layoffs.fyi, highlighting a broader trend of workforce adjustments across the industry. Year-to-date, over 200 tech firms have collectively eliminated approximately 98,000 jobs.
Other tech giants have also made significant workforce reductions. Microsoft (MSFT) has reportedly laid off around 15,000 employees this year. Meta (META) recently eliminated about 600 positions in its artificial intelligence division, signaling how even areas of perceived future growth are being scrutinized. Google (GOOGL) cut over 100 design-related roles in its cloud unit earlier this month, while Salesforce (CRM) CEO Marc Benioff previously cited increasing AI adoption as the reason behind 4,000 customer support staff lay-offs. Intel (INTC) has made cuts totaling 22,000 jobs this year.
The tech industry witnessed its most pronounced contraction in 2023, as companies grappled with mounting inflationary pressures and climbing interest rates. That year, approximately 1,200 tech companies shed over 260,000 jobs according to Layoffs.fyi.
The narrative extends beyond macro-economic headwinds. Over the past year, companies spanning various sectors – tech, finance, automotive, and retail – have increasingly pointed to the proliferation of generative AI as a catalyst for workforce optimization, both ongoing and anticipated.
Amazon has been implementing phased layoffs since 2022, resulting in over 27,000 job cuts. Several divisions, including cloud (Amazon Web Services), stores, communications, and devices, have experienced job reductions in recent months.
These layoffs are part of a broader cost-cutting initiative led by Amazon CEO Andy Jassy, initiated during the Covid-19 pandemic. Beyond expense reduction, Jassy has also embarked on a simplification of Amazon’s corporate hierarchy, aiming to “remove layers and flatten organizations” by reducing management layers.
In June, Jassy suggested that Amazon’s overall corporate workforce could shrink further as the company integrates generative AI technologies. “We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs,” he stated in a memo to employees.
This strategic repositioning indicates a fundamental shift in Amazon’s operational priorities. The company is actively re-evaluating its talent needs in light of rapidly advancing technologies, particularly in the realm of artificial intelligence and automation. The coming months will be crucial in determining the long-term impacts of this restructuring on Amazon’s competitive landscape and its ability to innovate.
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