Amazon will eliminate about 14,000 corporate positions worldwide as the company restructures to focus on artificial intelligence development. Senior Vice President Beth Galetti told workers on Tuesday that the reduction allows Amazon to concentrate resources on priorities that serve customer needs while moving faster in AI competition.
The announcement follows a strong second-quarter performance showing sales of $167.7 billion, up 13 percent from the previous year. Galetti defended the decision, calling AI the most significant technological shift since the emergence of the internet. Amazon employs more than 1.5 million workers globally, with approximately 350,000 in corporate functions.
Chief Executive Andy Jassy has cut roughly 27,000 positions since 2022 after pandemic-era hiring surges. The company will help displaced workers seek internal transfers or provide severance packages. Analysts expect similar workforce adjustments across the technology sector as companies adopt AI tools that automate routine tasks.
The announcement follows a strong second-quarter performance showing sales of $167.7 billion, up 13 percent from the previous year. Galetti defended the decision, calling AI the most significant technological shift since the emergence of the internet. Amazon employs more than 1.5 million workers globally, with approximately 350,000 in corporate functions.
Chief Executive Andy Jassy has cut roughly 27,000 positions since 2022 after pandemic-era hiring surges. The company will help displaced workers seek internal transfers or provide severance packages. Analysts expect similar workforce adjustments across the technology sector as companies adopt AI tools that automate routine tasks.
