Key Takeaways
- Amazon is cutting 14,000 corporate jobs across the US, Canada, and Europe
- Affected employees receive 90 days of full pay and benefits plus severance
- Retail operations bear the brunt with over 80% of the cuts
- Management positions (levels 5-7) account for 78% of affected roles
Amazon has initiated major corporate layoffs affecting 14,000 employees as part of its AI-driven restructuring strategy. The company confirmed that affected workers in the US, Canada, and Europe will receive full pay and benefits for 90 days along with a severance package.
Layoff Notifications and Scale
Approximately 7,500 employees have already received layoff notifications, according to internal communications cited by Business Insider. The cuts primarily impact Amazon’s retail segment, spanning e-commerce, human resources, and logistics operations.
Beth Galetti, Amazon’s HR chief, confirmed the layoffs through employee messages and internal blog posts. She stated that despite steady business performance, AI transformation necessitated structural changes to align with emerging technologies.
Affected Business Divisions
More than 80% of impacted employees come from Amazon’s retail operations. The remaining cuts affect teams in advertising, recruitment, payments, devices, Fire TV, and customer analytics.
The layoffs also extend to Audible, Amazon’s audiobook and podcast division. CEO Bob Carrigan confirmed affected staff notifications and indicated further organizational changes to enhance focus on key growth areas.
Tapas Roy, Amazon’s vice president of device software and services, confirmed job cuts within the OS & Services team, urging remaining staff to prioritize AI-driven initiatives.
Global Impact and Management Focus
In Europe, German employees received system alerts indicating reduced access to internal tools—typically signaling role closures. Nils Gräf, Amazon’s Germany director, confirmed local works council notifications about the layoffs.
The cuts disproportionately affect management, with 78% of impacted roles being level 5-7 positions (junior and senior managers). The 14,000 job cuts represent nearly 4% of Amazon’s 350,000 corporate workforce globally.
Future Restructuring Concerns
Internal communications suggest additional job reductions could occur early next year. Some employees express concerns that Amazon Web Services (AWS) might face impacts in subsequent restructuring phases.
The moves align with Amazon’s long-term AI adoption strategy to eliminate role overlaps and enhance operational efficiency through automation.
Severance and Transition Support
Under the severance offer, affected employees receive 90 days of regular pay and benefits, plus job placement assistance and resume support. Amazon remains committed to helping employees transition to new opportunities internally or externally.
The HR department clarified that employees losing system access before their official termination date will continue receiving pay and benefits during the notice period.
