Amazon Plans Largest Job Cuts in Company History: 30,000 Positions at Risk
Amazon is preparing to eliminate up to 30,000 corporate jobs this week in what would be the largest workforce reduction in the company’s history. The cuts represent nearly 10% of Amazon’s 350,000 corporate employees and mark the biggest single layoff round in the tech industry since 2020.
Key Takeaways
- Amazon may cut 30,000 corporate jobs starting this week
- This represents nearly 10% of corporate workforce
- Largest job cuts in Amazon’s history
- Affects HR, Operations, Devices, and AWS divisions
Timeline and Affected Departments
According to Reuters sources, email notifications are scheduled for Tuesday morning following manager training on Monday. The layoffs will impact multiple divisions across the company:
- Human Resources (People Experience and Technology/PXT) – facing ~15% reduction
- Operations, Devices, and Services
- Amazon Web Services (AWS)
Drivers Behind the Cuts
The massive workforce reduction stems from Amazon’s need to cut expenses following aggressive hiring during peak pandemic demand. CEO Andy Jassy’s efficiency initiative aims to reduce bureaucracy and manager counts throughout the organization.
Jassy has indicated that increased AI adoption will automate repetitive tasks, leading to further job reductions. The company’s strict return-to-office policy, requiring five days weekly, has also contributed by failing to generate enough voluntary attrition.
Employee Impact
Some non-compliant employees are reportedly being classified as having “voluntarily quit” and leaving without severance packages. Despite the corporate restructuring, Amazon maintains confidence in holiday season demand, planning to hire 250,000 seasonal workers for warehouse operations.
