According to multiple media reports, Amazon is preparing for substantial job cuts among its corporate workforce, with announcements expected as early as this week. The online retail giant aims to lay off up to 30,000 employees as part of its ongoing cost-cutting measures led by CEO Andy Jassy. Major outlets such as the Wall Street Journal and Reuters have cited sources confirming this number, highlighting the scale of the potential layoffs.
When contacted by the BBC, Amazon declined to comment on the matter. If these layoffs are confirmed, they could represent one of the largest workforce reductions seen in recent months. This move would mark Amazon's most significant layoffs since 2022, when the company reduced its workforce by around 27,000 employees over several months.
In addition to the Wall Street Journal and Reuters, other reputable sources like CNBC and the New York Times have also reported on Amazon's layoff plans, citing well-informed sources familiar with the situation. However, the reports did not specify the geographic locations where these job cuts will take place.
The potential layoffs would account for approximately 10% of Amazon's corporate headcount, which consists of around 350,000 corporate workers. This group includes employees in executive, managerial, and sales roles, according to data Amazon submitted to the US government last year. While this number is substantial, it still represents a small fraction of Amazon's total workforce, which exceeds 1.5 million employees globally across its warehouses and offices.
Like many technology companies, Amazon aggressively expanded its workforce during the Covid-19 pandemic to meet the increased demand for online deliveries and digital services. Recently, however, CEO Andy Jassy has shifted the company's focus towards reducing spending, particularly as Amazon invests heavily in artificial intelligence (AI) tools to enhance operational efficiency.
In a statement made in June, Jassy acknowledged that the integration of AI tools could lead to job reductions, as machines begin to take over routine tasks. "We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs," he remarked, signaling a significant shift in Amazon's workforce strategy.