Key Points:
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Amazon announced layoffs affecting about 16,000 employees across multiple teams.
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The company says the move is part of efforts to reduce bureaucracy and increase efficiency.
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Impacted US workers will be given time to apply for internal roles or receive severance packages.
Amazon has confirmed it will eliminate approximately 16,000 corporate positions as part of a new organizational restructuring aimed at reducing layers of management and increasing internal ownership.
The announcement was made in a message to employees by Beth Galetti, Senior Vice President of People Experience and Technology. She said the layoffs follow similar reductions carried out in October, when about 14,000 corporate roles were cut.
Galetti explained that some teams completed restructuring last year, while others finalized their changes only recently. The company described the move as part of an effort to streamline operations and remove unnecessary bureaucracy.
Most US-based employees affected by the decision will be given up to 90 days to apply for new roles within Amazon. Those who are unable to secure another position or choose not to pursue internal opportunities will receive severance pay, health benefits, and career transition support. Timelines for international employees will vary depending on local regulations.
Amazon emphasized that it will continue hiring in areas considered critical to its long-term strategy. These include technology development and innovation-driven divisions.
The company has avoided directly linking the layoffs to artificial intelligence, though executives have previously acknowledged that AI will lead to workforce changes over time. Chief Executive Andy Jassy said last year that increased use of automation and AI tools would eventually reduce the size of Amazon’s corporate workforce through efficiency gains.
Despite the job cuts, Amazon’s business remains strong. The company reported a 13 percent increase in revenue in its most recent quarterly results, reaching more than 180 billion dollars in sales for the period ending in September.
Galetti said the company does not plan to announce layoffs on a recurring schedule but will continue reviewing team structures as business needs evolve.
The restructuring marks one of Amazon’s largest workforce reductions in recent years and reflects broader changes across the technology sector as companies adjust to economic uncertainty and rapid technological shifts.
