Amazon is eliminating approximately 16,000 corporate positions in its second mass layoff within three months, as the Seattle-based tech giant continues reducing a workforce that expanded during the pandemic.
Beth Galetti, a senior vice president at Amazon, said Wednesday that the company has been “reducing layers, increasing ownership, and removing bureaucracy.” The company did not specify which business units would be affected or where the cuts would occur.
The latest reductions follow October’s announcement of 14,000 layoffs. U.S.-based staff will be given 90 days to search for new roles internally. Those unsuccessful or who don’t want a new position will receive severance pay, outplacement services and health insurance benefits.
These cuts represent Amazon’s largest layoffs since 2023, when the company eliminated 27,000 positions. CEO Andy Jassy said in June he anticipated generative AI would reduce Amazon’s corporate workforce in coming years.
Amazon’s most recent quarter saw profits jump nearly 40% to about $21 billion, with revenue exceeding $180 billion. Jassy said in October that job cuts weren’t driven by finances or AI but by “culture” and excess organizational layers from rapid growth.
For Seattle, where Amazon employs thousands of corporate workers, these layoffs affect local spending, housing demand, and the broader tech economy. The labor market shows stagnation, with December adding just 50,000 jobs. UPS plans to cut up to 30,000 operational jobs this year, while Pinterest will lay off under 15% of its workforce.
The question for affected workers is whether 90 days provides realistic time to transition internally when the company is actively shrinking.
