Image: Amazon
Amazon is reportedly set to launch a second round of job cuts next week as it works toward a goal of trimming 30,000 corporate employees.
According to a report from Reuters, this new wave could begin as early as Tuesday and is expected to be similar in scale to the 14,000 white-collar roles eliminated this past October. Sources familiar with the matter say the reductions will likely impact units including Amazon Web Services, retail, Prime Video, and human resources.
The total reduction represents nearly 10 per cent of the company’s corporate workforce. While Amazon employs over 1.5 million people, the majority work in fulfillment centres and were not targeted in this specific round of cuts.
While internal documents previously tied the October cuts to the power of artificial intelligence, CEO Andy Jassy later suggested the move was about fixing company culture. Jassy told analysts that the firm had developed too many layers of bureaucracy and management. Despite this, Jassy has noted that AI efficiencies will likely continue to shrink the corporate headcount over time as routine tasks become automated.
This downsizing marks the largest layoff period in the company’s three-decade history, exceeding the 27,000 jobs cut in 2022. For those let go in the previous wave, a 90-day grace period on the payroll is scheduled to expire this Monday.
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