Amazon will cut up to 30,000 positions from its corporate workforce, starting Tuesday, as part of efforts to streamline operations and address hiring that ballooned during pandemic-era demand spikes.
Sweeping Job Cuts
This round of layoffs, which could affect nearly 10% of Amazon's roughly 350,000 corporate employees, stands as the largest in the company's history, according to Reuters.
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The staff cuts will span multiple divisions, including human resources, operations, devices,and services. Over the past two years, Amazon has made incremental workforce reductions across several areas such as devices, communications and podcasting.
CEO Andy Jassy is leading a broad restructuring drive aimed at reducing costs and simplifying Amazon's organizational hierarchy, which includes consolidating layers of management and promoting operational efficiency.
Jassy has previously flagged the growing use of AI as a key factor in reducing repetitive jobs.
The final number of affected employees could fluctuate, depending on Amazon's shifting financial priorities, with some reports indicating a possible 15% cut in the human resources division alone.
Second-Largest Employer
Amazon continues to offer 250,000 seasonal positions to meet expected holiday demand, similar to the past two years.
Amazon's total global workforce remains just over 1.54 million, making it the second-largest private employer in the U.S., with warehouse roles making up the majority.
The restructuring at Amazon may continue as the company evaluates its needs and invests further in automation and artificial intelligence, potentially leading to additional workforce changes in the future.
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