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Amazon confirmed a round of layoffs that will affect around 16,000 corporate employees worldwide, as part of an internal reorganization aimed at streamlining the structure, reducing bureaucracy, and accelerating the adoption of artificial intelligence (AI) within the company, according to a report based on information from Reuters.
The layoffs —which would account for nearly 10% of its corporate workforce— will primarily impact areas such as Amazon Web Services (AWS) and business units related to stores; these come in addition to previous cuts in administrative and management positions, according to the document.
The company framed the decision within a broader plan to enhance operational efficiency and restructure teams at a time when AI allows for the automation of processes and redefines roles that previously required more human intervention.
In the United States, affected employees would have 90 days to attempt to relocate internally before accessing severance packages or compensation, according to reports.
Which areas would be the most affected?
The adjustment will primarily focus on AWS and the retail business, within an internal restructuring process aimed at creating a "more agile and efficient" organization.
It also mentions that the impact will reach corporate teams—not directly to workers at logistics centers or warehouses—and cites among the affected divisions Prime Video, Human Resources and other central functions.
Still, Amazon noted that it will not completely halt hiring and will continue to bring on staff in areas deemed strategic.
Amazon states that artificial intelligence is central to transformation: it enables the automation of repetitive tasks, optimizes resources, and accelerates innovation.
The company acknowledges that the increased use of AI is reducing the need for certain traditional roles and cites reports on internal assessments of the long-term automation of manual tasks.
The 16,000 layoffs add to a previous wave that had already cut about 14,000 administrative and management positions.
In parallel, the company announced changes to its grocery business, including store closures and conversions, as part of a broader reorganization of the company.
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