Breaking :Amazon Plans to Reduce 30,000 Corporate Jobs in Response to AI-Driven Workforce Restructuring
Beginning Tuesday 28 October 2025 global e-commerce giant Amazon is said to layoff 10% of it staff as many as 30,000 corporate jobs as part of a sweeping effort to reduce costs and restructure its workforce bloated by pandemic-era overhiring.
According to multiple sources familiar with the development, the job cuts — representing nearly 10% of Amazon’s roughly 350,000 corporate employees — would affect several divisions, including human resources (People Experience and Technology or PXT), operations, devices and services, and Amazon Web Services (AWS).
The move marks the most significant staff reduction since late 2022, when Amazon eliminated about 27,000 positions amid a global tech downturn.
Managers in the affected departments were reportedly briefed on Monday and trained on how to communicate the layoffs to staff, ahead of email notifications scheduled to begin Tuesday morning.
Amazon CEO Andy Jassy has been on a mission to streamline operations, tackle “excess bureaucracy,” and reduce the layers of management he says have slowed decision-making across the company.
Jassy earlier introduced an anonymous complaint line that encouraged employees to flag inefficiencies — a system that reportedly produced over 1,500 submissions and led to more than 450 process changes.
Industry analysts believe the latest layoffs signal that Amazon is beginning to realize productivity gains from artificial intelligence (AI), enabling the company to automate repetitive tasks and shrink parts of its corporate structure.
“This latest move signals that Amazon is likely realising enough AI-driven productivity gains within corporate teams to support a substantial reduction in force,” said Sky Canaves, an eMarketer analyst.
Amazon, like other major tech firms, has invested heavily in AI infrastructure — a costly bet that the company is now under pressure to offset with short-term savings.
Two insiders said Amazon’s strict five-day in-office policy, introduced earlier this year, failed to drive the level of voluntary attrition the company had hoped for. As a result, some remote employees who do not report physically to offices are being classified as having “voluntarily quit” — a move that saves Amazon from paying severance packages.
The PXT division, which oversees HR and diversity initiatives, is reportedly among the hardest hit. Fortune earlier reported that the HR unit alone could face cuts of up to 15%.
On Friday, a leaked memo showed that Amazon had also reorganized parts of its diversity-focused PXT segment, promoting some staff and consolidating others under new roles.
The layoffs come as Amazon’s cloud computing arm, AWS, struggles to keep pace with rivals. The unit posted $30.9 billion in second-quarter sales, a 17.5% rise — far below the 39% growth of Microsoft’s Azure and 32% from Google Cloud.
AWS also suffered a major setback last week when a 15-hour outage disrupted several popular online platforms including Snapchat and Venmo.
Data from Layoffs.fyi, a site that tracks job cuts in the tech industry, shows that 216 companies have eliminated about 98,000 jobs in 2025 alone, following 153,000 layoffs in 2024.
Despite the corporate shakeup, Amazon is still gearing up for another massive holiday shopping season. The company plans to hire 250,000 seasonal workers, the same number as the past two years, to help manage its warehouses and logistics network.
Meanwhile, Amazon’s stock rose 1.2% to $226.97 on Monday, ahead of its third-quarter earnings report expected Thursday.
If confirmed, this would be Amazon’s largest corporate downsizing since the pandemic, indicating that the company’s post-COVID hiring surge is now giving way to a new era characterized by AI automation, cost-cutting measures, and organizational overhauling.
