Amazon to Cut 30,000 Corporate Jobs in Largest Workforce Reduction Yet

Amazon is getting ready to make another massive cut to its corporate workforce, with up to 30,000 jobs on the line starting Tuesday, according to sources close to the company. The move is part of a major effort to rein in costs after aggressive pandemic hiring and as artificial intelligence begins to reshape how the company operates.

While 30,000 represents only a small slice of Amazon’s 1.55 million total employees, it amounts to nearly 10% of the corporate workforce. This marks the largest layoff in company history, surpassing the 27,000 roles cut beginning in late 2022.

Although Amazon declined to officially comment, sources say the cuts will likely affect divisions like human resources, devices and services, and operations. Managers were instructed Monday on how to deliver the news, with employee emails expected to roll out Tuesday morning.

CEO Andy Jassy has been pushing to strip away what he described as unnecessary layers of management and tighten internal processes. He launched an anonymous complaint line that led to over 450 internal changes based on more than 1,500 employee responses.

Jassy also warned earlier this year that automation and AI would drive job losses. “This latest move signals that Amazon is likely realizing enough AI-driven productivity gains within corporate teams to support a substantial reduction in force,” said Sky Canaves, analyst at eMarketer. “Amazon has also been under pressure in the short-term to offset the long-term investments in building out its AI infrastructure.”

The actual number of jobs affected may fluctuate as company priorities shift. Reports suggest that human resources alone could face cuts of up to 15%. Despite the layoffs, Amazon is still planning to hire 250,000 seasonal workers for the holiday rush. The company will report its third-quarter earnings this Thursday.