In a move that signals the growing dominance of artificial intelligence in corporate restructuring, Amazon, the Seattle-based e-commerce and cloud computing powerhouse, has announced a significant reduction in its corporate workforce. On Tuesday, October 28, 2025, the company confirmed that it would cut approximately 14,000 corporate roles globally as part of an ongoing initiative to make Amazon leaner, more agile, and deeply AI-driven.
The announcement comes amid widespread reports suggesting that the job cuts could reach up to 30,000 — the largest corporate layoffs in the company’s history. However, Amazon clarified that while certain functions are being reduced, others are actively hiring to align with its new growth priorities.
Amazon Layoffs: Amazon’s Strategic Shift – From Bureaucracy to AI Agility
Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, addressed employees through a blog post soon after the news broke. She emphasized that the company’s reorganization was designed to “reduce bureaucracy, eliminate redundant layers, and channel resources toward its most transformative bets — particularly in artificial intelligence.”
“While this will include reducing in some areas and hiring in others, it will mean an overall reduction in our corporate workforce of approximately 14,000 roles,” Galetti wrote. “The world is changing quickly, and this generation of AI is the most transformative technology we’ve seen since the Internet. It’s enabling companies to innovate faster than ever before.”
The company employs over 1.5 million people worldwide, with India accounting for around 1.2 to 1.3 lakh direct employees. Given this scale, experts predict that the Indian operations will experience a notable share of the impact, particularly across divisions such as Amazon Web Services (AWS) and human resources.
Experts Weigh In on the Amazon Layoffs 2025
Industry observers view the Amazon layoffs 2025 as a long-expected correction following the company’s pandemic-era hiring spree. During the COVID-19 years, Amazon expanded aggressively, adding over 500,000 new employees globally to meet soaring demand for e-commerce and cloud services.
Avinash Vashistha, Managing Director and Founder of Tholons, an AI and tech advisory firm, described the layoffs as part of a necessary “people-correction.”
“Amazon’s massive firing plan marks a strategic recalibration toward AI efficiency,” he noted. “The company is trimming layers of bureaucracy to prepare for a future where automation, not manpower, drives innovation. The impact on India will be significant, especially with thousands of roles being reassessed in key business divisions.”
Aditya Narayan Mishra, CEO of CIEL HR, added that such large-scale workforce transitions are an unavoidable byproduct of AI adoption. “The shift to automation brings great efficiency, but it also challenges traditional employment structures,” he said. “Companies like Amazon are now navigating the difficult intersection between innovation and job displacement.”
Amazon Layoffs: Layoff Implementation: Sensitive and Structured
According to internal sources, the layoff process is set to begin within days. Managers across affected departments have undergone special training sessions to learn how to communicate the news empathetically and handle conversations with impacted employees.
Galetti emphasized that Amazon is committed to handling the transition responsibly. Affected employees will receive 90 days to explore internal opportunities within the company. Those who choose not to seek new roles, or who cannot be placed internally, will be provided severance packages, health insurance benefits, outplacement services, and other forms of transition support.
Why Layoffs Amid Success? Amazon’s Forward-Looking Rationale
Addressing a question that has puzzled many — why cut jobs when the company is performing well — Galetti explained that success today doesn’t guarantee sustainability tomorrow.
“The world is evolving rapidly,” she wrote. “AI is reshaping how we build, deliver, and support products. We’re reorganizing not because we’re weak, but because we want to stay strong and future-ready. This restructuring ensures Amazon remains agile and focused on its biggest opportunities.”
India’s Role in Amazon’s AI Future
India remains a critical market and technology hub for Amazon. The company’s R&D centers, AWS development hubs, and logistics operations have been integral to its global success. While job cuts in the corporate segment will hurt, industry analysts believe Amazon’s AI transition could also open new high-value roles in data science, machine learning, and cloud automation over time.
“Amazon is not shrinking — it’s evolving,” said Vashistha. “AI will eliminate some roles, but it will also create new ones that demand advanced technical and analytical skills. The challenge for the workforce now is to reskill and adapt.”
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