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Amazon.com Inc. Logo Shown on Smartphone with Latest Stock Market Chart
Source: Cheng Xin / Getty

Amazon announced it will cut about 16,000 jobs across its corporate workforce, marking one of the biggest layoffs in the company’s history and the second major reduction in just three months. The tech giant made the announcement Wednesday, framing the cuts as part of a broader effort to reshape operations and boost efficiency.

Amazon’s Senior Vice President of People Experience and Technology, Beth Galetti, told employees in a company blog post that leaders plan to “reduce layers, increase ownership, and remove bureaucracy” to accelerate decision-making and adapt to fast-changing market dynamics.

This announcement followed a round of layoffs in October, when Amazon eliminated roughly 14,000 corporate roles. With this new reduction, the company will have cut around 30,000 corporate jobs in recent months, affecting nearly 10% of its office workforce.

Amazon offered impacted U.S. employees 90 days to seek new roles within the company. Workers who do not secure a new position will receive severance pay, outplacement services, and continued health insurance benefits, Galetti said.

CEO Andy Jassy has pushed the company to streamline internal structures since taking the helm, emphasizing the need to operate with the agility of a startup. Jassy has also highlighted generative artificial intelligence as a long-term strategic focus that will change how teams work, though he noted the company will continue hiring in key areas even as it trims headcount.

Industry analysts said Amazon’s layoffs reflect broader tech sector trends. Many large companies are reassessing workforce needs as automation and AI reshape functions that previously required large teams. Competitors such as Google, Microsoft, and Meta also adjust staffing to balance innovation with cost efficiency.

At headquarters in Seattle, local leaders warned the cuts could ripple through the economy, affecting small businesses that depend on corporate workers for daily commerce.