Amazon Announces 16,000 Job Cuts in Second Major Layoff Amid AI-Driven Restructuring

Amazon Announces 16,000 Job Cuts in Second Major Layoff Amid AI-Driven Restructuring

Amazon has announced it is laying off 16,000 employees worldwide in the latest round of workforce reductions, marking the second major cut in just three months. The move follows an earlier layoff of 14,000 corporate staff in October 2025 as the company restructures after rapid pandemic-era hiring and adapts to changes linked with increased use of artificial intelligence and organizational streamlining.

According to the company’s leadership, the layoffs are part of broader efforts to reduce bureaucracy, flatten management layers, and speed up decision-making so Amazon can remain agile in a fast-evolving tech landscape. Most of the affected workers will be given internal transfer opportunities over a 90-day period, and those who aren’t rehired will receive severance pay, continued benefits, and career transition support.

CEO Andy Jassy and senior executives have framed the layoffs not just as cost-cutting, but as a strategic shift toward efficiency, with generative AI tools expected to change how work is done within the company. While Amazon insists the cuts are not meant to become a regular pattern, analysts note that the total workforce reduction now approaches roughly 30,000 corporate roles when combined with prior cuts.

The latest job cuts reflect broader trends across the tech industry, where artificial intelligence and automation are reshaping employment across corporate roles. The decision has drawn attention both from employees and the wider market, as observers weigh how AI adoption and corporate restructuring may influence job opportunities and workforce dynamics in the years ahead.

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