Amazon plans to cut 14,000 corporate jobs as part of a sweeping restructuring aimed at streamlining operations and redirecting investment toward artificial intelligence.
The layoffs — Amazon’s second largest since 2022 — target administrative, sales, and executive roles within the company’s 360,000-person corporate division.
In an internal memo, Beth Galetti, Amazon’s Senior Vice President of People Experience and Technology, said the move will make the company “leaner and faster” to capitalize on the opportunities created by generative AI.
“This generation of AI is the most transformative technology since the internet,” she wrote. “We must organize more efficiently to move as quickly as possible for our customers and our business.”
The layoffs follow a broader strategic shift toward automation and AI-driven productivity. CEO Andy Jassy has said the rollout of AI agents will “reduce the need for some existing roles” while creating new ones.
Amazon spent $55.6 billion in the first half of the year on technology infrastructure, largely to expand Amazon Web Services (AWS) — its fastest-growing division, which accounted for 18% of total sales last quarter.
Affected employees will receive 90 days of internal job search support, along with severance packages and extended benefits. The company said it will continue to remove management layers in 2026 while hiring selectively for AI-related roles.
