Amazon Gears Up for Another Round of Layoffs, Retail Division Set to Be Impacted

Amazon is reportedly preparing for a significant second wave of corporate job reductions, with estimates suggesting around 30,000 roles could be eliminated. This follows an earlier round of 14,000 job cuts in October. The upcoming layoffs are expected to commence as early as Tuesday, January 27th, and could affect various departments including retail, Amazon Web Services (AWS), Prime Video, and human resources.

Key Takeaways

  • Amazon is planning a new round of corporate job cuts, potentially impacting 30,000 roles.
  • The retail division is among the areas expected to be affected.
  • The cuts could begin as early as January 27th.
  • The company previously cut 14,000 corporate jobs in October.
  • Reasons cited for the cuts include the rise of AI and company culture.

Scope of the Reductions

The planned redundancies represent a substantial portion of Amazon’s corporate workforce, potentially nearing 10% of its white-collar employees. While the exact number of roles and specific teams are still being finalised, sources indicate that the retail operations are a key area facing impact. Other divisions reportedly in line for cuts include Amazon Web Services (AWS), Prime Video, and the People Experience and Technology (human resources) unit. The final scope of these layoffs may still evolve.

Reasons Behind the Cuts

When Amazon announced its initial round of 14,000 job cuts in October, the company cited the rapid advancements in Artificial Intelligence (AI) as a primary driver. An internal letter highlighted AI as a transformative technology enabling faster innovation. However, Amazon CEO Andy Jassy later suggested during the Q3 earnings call that the decisions were not solely financially or AI-driven, but also related to company culture. He had previously indicated an expectation that the corporate workforce might contract over time due to increased efficiency, including the adoption of AI.

Historical Context

This new wave of layoffs, if it reaches the projected 30,000 roles, would mark the largest reduction in the company’s history. It follows the 14,000 corporate positions eliminated in October 2025, which represented about half of the total reduction now being targeted. The upcoming cuts are anticipated to be of a similar magnitude to the previous round. It is important to note that these corporate layoffs constitute a small fraction of Amazon’s overall global workforce, which is heavily concentrated in logistics and fulfilment centres.

Sources