Amazon has acknowledged that the growing use of artificial intelligence (AI) will likely lead to job cuts over the next few years, especially within its corporate workforce. In a recent internal memo, CEO Andy Jassy said the company expects AI tools—particularly generative AI and task-specific agents—to fundamentally change how work is done. This shift will reduce the need for some current roles while creating new ones.
Jassy explained that although AI will bring innovation and efficiency, it will also make certain jobs obsolete. He did not specify how many positions would be affected or which departments might see layoffs. Amazon currently employs around 1.5 million people worldwide.
The company has already slowed hiring in its retail division and is investing heavily in AI infrastructure, reportedly planning to spend nearly $100 billion on data centers and AI development. These moves underline how central AI has become to Amazon’s long-term strategy.
The announcement has created uncertainty among employees, especially those in non-technical and support roles. While Jassy encouraged staff to upskill and learn about AI to stay relevant, his message also suggested that significant workforce changes are likely.
Amazon’s position reflects a broader trend across the corporate world. Leaders at other major firms, such as BT and Anthropic, have also warned that AI could eliminate large numbers of entry-level or repetitive office jobs in the near future.
As of now, Amazon has not released a formal restructuring or layoff plan and declined to offer further details beyond the internal memo.
