Amazon Layoffs 2025: 14,000 Corporate Jobs Cut Amid AI Expansion and Cost Restructuring

Amazon has announced another major round of job cuts, eliminating around 14,000 corporate positions as part of its ongoing restructuring plan aimed at boosting efficiency and funding its ambitious artificial intelligence initiatives. The move represents Amazon’s largest workforce reduction since 2023, when it laid off approximately 27,000 employees.

The layoffs, confirmed by Beth Galetti, Senior Vice President of People Experience and Technology, began with employee notifications on Tuesday. Affected workers will have 90 days to apply for internal roles, following which those unable to secure new positions will receive severance pay, health benefits, and outplacement support.

Departments and Scale of Impact

Amazon currently employs 350,000 corporate staff and about 1.56 million employees globally. The latest job cuts account for nearly 4% of its corporate workforce. Departments impacted include devices, advertising, Prime Video, human resources, operations, Alexa, and Amazon Web Services (AWS).

Several employees reported receiving termination notices via personal email, informing them that they were no longer required to report for work.

AI Investment and Restructuring Under CEO Andy Jassy

Since assuming leadership in 2021, CEO Andy Jassy has led Amazon through a series of cost-cutting and restructuring initiatives designed to optimize operations and eliminate redundancies. He has consistently highlighted AI-driven automation as a key driver of the company’s future growth — and a reason behind shrinking certain corporate roles.

Jassy stated earlier this year that generative AI advancements would reduce the need for traditional administrative and analytical positions over time. The company has also encouraged employees to share anonymous feedback to identify inefficiencies, leading to hundreds of internal process improvements.

Major AI and Cloud Expansion Projects

While job cuts are underway, Amazon continues to expand aggressively in high-priority areas such as cloud computing and artificial intelligence. The company has announced multi-billion-dollar data center projects across North Carolina, Indiana, Mississippi, and Ohio, alongside a $10 billion AI-focused campus planned in North Carolina.

Market Performance and Analyst View

Despite modest stock gains this year, Amazon remains the weakest performer among major US tech giants. Analysts see these layoffs as a strategic effort to maintain profitability while reinvesting heavily in AI and infrastructure development.

The restructuring aligns Amazon with other major tech players — including Microsoft, Google, and Meta — who are balancing workforce reductions with accelerated AI spending amid economic uncertainty.