Amazon is eliminating about 16,000 positions, completing a restructuring that has trimmed roughly 30,000 jobs since October as the company seeks to streamline operations and cut bureaucracy.
The layoffs, announced Wednesday by Beth Galetti, senior vice president of people experience and technology, follow a reduction of 14,000 roles three months ago, The Dallas Express previously reported. They represent nearly 10% of the e-commerce giant’s corporate workforce and mark its largest workforce cuts in three decades, exceeding the 27,000 positions shed between late 2022 and early 2023.
“While many teams finalized their organizational changes in October, other teams did not complete that work until now,” Galetti said in a message to employees.
The reductions aim to strengthen the company by “reducing layers, increasing ownership, and removing bureaucracy,” she added.
Amazon has attributed past overhiring to surging demand during the COVID-19 pandemic.
Affected workers include those in Amazon Web Services, Alexa voice assistant, Prime Video, devices, advertising, and last-mile delivery units. The company on Tuesday said it was closing its remaining Fresh grocery stores and Go markets, and ending its Amazon One palm-scanning payment system.
U.S.-based employees will have 90 days to apply for internal roles, with international timelines varying by local requirements. Those unable to secure new positions or who opt out will receive severance, outplacement services, and applicable health benefits.
“While we’re making these changes, we’ll also continue hiring and investing in strategic areas and functions that are critical to our future,” Galetti said. “We’re still in the early stages of building every one of our businesses and there’s significant opportunity ahead.”
She addressed concerns over ongoing cuts, noting that “some of you might ask if this is the beginning of a new rhythm – where we announce broad reductions every few months. That’s not our plan. But just as we always have, every team will continue to evaluate the ownership, speed, and capacity to invent for customers, and make adjustments as appropriate. That’s never been more important than it is today in a world that’s changing faster than ever.”
An email sent in error on Tuesday referenced the plan as “Project Dawn,” unsettling some AWS staff.
The moves fall under CEO Andy Jassy, who has focused on efficiency amid broader tech industry restructuring and scrutiny of H-1B hiring, The Dallas Express previously reported. He stated last summer that increasing use of AI would lead to more corporate job losses, Reuters reported.