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Amazon cuts 16,000 jobs worldwide

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WASHINGTON: Amazon has slashed 16,000 jobs worldwide in a fresh wave of layoffs, deepening one of the most aggressive restructurings in its history as the company unwinds pandemic-era over-hiring and leans harder into artificial intelligence.

The cuts, reported by Reuters, come just three months after an earlier round of job losses and form part of a broader plan to eliminate around 30,000 corporate roles. Employees across Amazon Web Services, retail, Prime Video and human resources are expected to be affected.

The latest move underscores chief executive Andy Jassy’s push to flatten Amazon’s sprawling corporate structure. When the first phase of layoffs was announced in October, Jassy said the decision was not driven by short-term financial pressure or artificial intelligence, but by culture. Years of rapid expansion, he said, had created too many layers of management, slowing decision-making and adding complexity.

Analysts say the savings from the cuts are likely to be redirected towards Amazon’s priorities, particularly generative AI and automation within AWS.

Amazon’s retrenchment is part of an efficiency programme launched during the pandemic, when hiring surged to meet soaring demand. Since 2022, the company has cut more than 27,000 roles, with recent rounds hitting its cloud, retail, devices and communications businesses.

Jassy has been explicit about where the company is headed. He has said Amazon intends to streamline its hierarchy to “remove complexity and flatten organisations”, and warned employees that further changes are likely as AI reshapes the workforce.

Speaking to staff in June 2025, he said Amazon “will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs” as generative AI is embedded across operations.

Earlier Reuters reporting suggested that job losses this year could affect up to 30,000 positions across human resources, devices and services, operations and other departments. Smaller cuts have already taken place in 2026, including limited layoffs in communications and sustainability teams in January.

Amazon has said affected employees will be given 90 days to apply for internal transfers, with recruiters instructed to prioritise internal candidates. Those who fail to secure new roles will receive severance pay, outplacement support and continued healthcare benefits.

For Amazon’s workforce, the message is stark: the era of relentless hiring is over. Efficiency, automation and AI now set the tempo—and fewer seats will be left when the music stops.

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