The layoffs will amount to the largest reductions to Amazon’s corporate workforce in the company’s history, spanning almost every business. In a message to employees, Senior VP Beth Galetti laid out major organizational changes. The company will reduce its corporate workforce by approximately 14,000 roles. The move is presented as part of a broader restructuring for reducing bureaucracy, flattening layers, increasing ownership, and shifting resources toward Amazon’s biggest investments.
For impacted employees, Amazon says that most will be given about 90 days to look for internal roles, and if they are unable or choose not to, they’ll receive support. Like most layoff the company said they would provide severance pay, outplacement services, and continued health insurance benefits. Amazon emphasizes that this is not simply a cost cutting exercise borne of a failing business. The company claims to be in a strong operational state, delivering for customers, innovating at a rapid pace. However, they still needs to reorganize to move faster, given how quickly the world is changing.
What I see is just another round of AI related cuts. They even said as much calling 'AI the most transformative technology we’ve seen since the Internet and arguing that Amazon must be organized more leanly to exploit it'. Don't get it confused, AI is no longer just a productivity tool it’s a workforce disruptor. The transition will be uneven, and workers must adapt or face displacement. I feel like this is just the start as AI is the worst it will ever be...