Amazon confirms reports, announcing 16,000 layoffs amidst AI & efficiency restructuring plan

Amazon has announced that it will be making 16,000 roles redundant across its global company,confirming media reports that had been circulating since last Friday.

The announcement marks the second major round of layoffs made by the tech and e-commerce giant over the past four months, in line with Amazon’s broader aim to streamline its operations and invest more in AI.

In a message sent out to employees on January 28, Beth Galetti, Amazon’s senior vice president of people experience and technology, confirmed that the company was making “additional organizational changes” to further simplify its operations, which include  “reducing layers, increasing ownership, and removing bureaucracy.” 

“The reductions we are making today will impact approximately 16,000 roles across Amazon, and we’re again working hard to support everyone whose role is impacted,” wrote Galetti. Most US-based employees affected will be offered 90 days to seek other roles within the company. Amazon has offered transition support, including severance pay, outplacement services, and health insurance benefits for affected employees who are not able to find a new role at Amazon, or who opt not to.

In the message, Galetti noted that the company will continue to hire and invest in “strategic areas and functions that are critical” to Amazon’s future during this time. “We’re still in the early stages of building every one of our businesses, and there’s a significant opportunity ahead,” she added. She also stressed that Amazon does not aim to make company-wide layoffs a regular practice every few months, but noted that each team will continue to adjust its organization as its business needs evolve. 

“That’s never been more important than it is today in a world that’s changing faster than ever.” The new layoffs follow the October 2025 job cut of 14,000 corporate employees, bringing total job cuts since then to about 30,000, roughly 10 percent of Amazon’s corporate and technology workforce. Some cuts affect teams, including Prime Video and Amazon MGM Studios.

Amazon, which employs around 1.55 million people worldwide, has eliminated more than 27,000 roles since 2022. The company noted that it is continuing to reshape its business by closing Amazon Fresh and cashierless Go stores, while shifting investment toward AI and large-scale data centers, with capital spending expected to reach 125 billion US dollars by 2026.