In what could be its largest round of layoffs since late 2022, Amazon is reportedly set to lay off up to 30,000 corporate employees starting Tuesday as part of a major cost-cutting initiative, according to a Reuters report citing sources familiar with the matter.
The move, representing about 10% of Amazon’s corporate workforce of 350,000, is aimed at reducing expenses and correcting overhiring during the pandemic-driven surge in demand. Amazon’s total global headcount stands at around 1.55 million.
The layoffs are expected to impact divisions including Human Resources (People Experience and Technology), Operations, Devices and Services, and Amazon Web Services (AWS). Managers in affected teams reportedly received special training on Monday to guide them in communicating the layoffs to employees.
An Amazon spokesperson declined to comment on the reported job cuts. Sources indicated that the final number could change depending on the company’s evolving financial priorities.
The restructuring comes under CEO Andy Jassy’s drive to streamline operations and eliminate inefficiencies. Jassy has previously hinted that AI-driven productivity gains and a push to cut bureaucracy could lead to workforce reductions.
According to eMarketer analyst Sky Canaves, the latest move shows Amazon is “realizing enough AI-driven productivity gains within corporate teams to support a substantial reduction in force.”
