Amazon confirms 14,000 corporate job cuts as it shifts toward AI and “leaner” operations

Amazon has confirmed it will reduce around 14,000 jobs in its corporate workforce, a move it says is tied to its ambition to streamline operations and reallocate resources into fast-growing strategic areas such as artificial intelligence. According to a note shared with employees by senior vice-president Beth Galetti, the affected roles will be subject to internal redeployment possibilities, most impacted employees will have 90 days to apply for other positions within the company.

For those who do not secure a new role, Amazon says it will offer severance packages, outplacement assistance and continued health-benefits support. The announcement frames the reduction as a continuation of efforts to “reduce bureaucracy, remove layers, and shift resources to what matters most to our customers’ current and future needs.” 

The 14,000 jobs represent about 4 % of Amazon’s corporate employee population, which is estimated to be around 350,000 globally.  Amazon says the broader workforce remains strong and performing well, but insists that the pace of change, especially in technology and AI, demands a leaner organisational structure. “This generation of AI is the most transformative technology we’ve seen since the internet,” Galetti wrote, emphasising that investment must be aligned with “our biggest bets.” 

Sources familiar with the matter tell Reuters that while Amazon is publicly announcing the 14,000 job cuts now, internal planning shows the possibility of as many as 30,000 positions being targeted over time as part of a larger restructuring.  The divisions expected to be affected include corporate functions such as HR (which Amazon calls People Experience & Technology), devices and services, advertising, and other office-based operations.  While frontline fulfilment and warehouse roles are not part of the immediate announcement, the broader trend toward automation and AI threatens to reshape those segments as well. 

From a wider industry perspective, this move by Amazon reflects growing pressure on tech companies to demonstrate cost discipline amid slower margin growth and increasing investment in AI infrastructure. Amazon has told employees that those who adapt by using AI tools, developing AI-related skills and embracing new ways of working will be better positioned for the future.  Politically and socially, the announcement has drawn scrutiny: lawmakers have raised questions about large-scale job losses at major employers, especially when tied to automation, and about the future of work in a rapidly evolving economy. 

In short, Amazon’s decision to cut around 14,000 corporate roles marks one of the larger single-announcements of job reductions in its history. While the cuts target a small fraction of its global workforce, they signal a shift in priority: less emphasis on layers of management and overhead, more investment in AI-enabled systems and high-growth functions. The coming weeks will show how smoothly the internal transitions go, how many employees are re-deployed, and just how far Amazon goes in reshaping its organisation.

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