Amazon Cuts 16,000 Office Jobs in Major AI-Driven Restructuring

Amazon cuts 16,000 corporate jobs in second major layoff round, citing AI adoption and need to reduce bureaucracy. Combined with previous cuts, nearly 10% of office workforce eliminated.

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Amazon Announces Second Major Round of Corporate Layoffs

In a significant workforce reduction, Amazon has confirmed it will eliminate approximately 16,000 corporate jobs as part of a broader restructuring initiative. This marks the second major round of layoffs in just three months, following the 14,000 office positions cut in October 2025. The tech giant's total corporate workforce reduction now approaches 30,000 jobs over the past year.

AI and Automation Driving Workforce Changes

Amazon CEO Andy Jassy has been transparent about the company's strategic shift toward artificial intelligence and automation. In multiple statements, Jassy has emphasized that AI adoption will inevitably lead to fewer employees performing jobs that become automated. 'AI will mean fewer people doing jobs that get automated,' Jassy stated in a recent CNBC interview. 'But it will also create new jobs and make existing jobs more interesting.'

The company attributes these layoffs to what it calls 'the rise of artificial intelligence' and a need to reduce bureaucracy within the organization. Amazon wants to streamline operations and reallocate resources toward AI development and automation technologies.

Impact on Global Workforce

Amazon employs approximately 1.5 million people worldwide, with the vast majority working in warehouses and fulfillment centers. The corporate office workforce numbers around 350,000, meaning these latest cuts represent about 4.6% of Amazon's office staff. Combined with previous reductions, nearly 10% of Amazon's corporate workforce has been eliminated.

Affected employees in the United States will receive 90 days to find new positions within the company, along with severance packages and job placement support. 'We're offering a 90-day window for internal transfers, plus transition benefits including severance pay and outplacement services,' explained Beth Galetti, Amazon's Senior VP of People Experience and Technology.

Uncertainty for Dutch Employees

Amazon maintains offices in Amsterdam and The Hague, but the company has not clarified how these layoffs will impact Dutch employees. The Netherlands has become an unexpected beneficiary of tech layoffs, with displaced tech workers migrating to Dutch cities for better work-life balance and affordable living.

One former Amazon employee who relocated to the Netherlands after being laid off shared: 'Getting laid off from Amazon became the catalyst for a positive life transformation. Moving to the Netherlands represented more than just a geographical change—it was a fundamental shift toward a happier, more balanced lifestyle.'

Broader Tech Industry Trend

Amazon's restructuring reflects a broader trend in the technology sector, where companies are adjusting to post-pandemic economic realities and focusing on profitability. Many tech giants, including Microsoft, Google, and Intel, have announced similar workforce reductions as they invest heavily in AI technologies.

Analysts note that Amazon's move represents a strategic recalibration after aggressive hiring during the pandemic. The company is now redirecting resources toward artificial intelligence and other long-term strategic priorities. 'This is not a new pattern of frequent layoffs but part of reshaping the company to operate leaner and focus on future growth areas,' Amazon stated in its official announcement.

As Amazon continues its AI-powered reset, the company faces questions about job security, labor protections, and the future of work in an increasingly automated world. With AI transforming industries at an unprecedented pace, Amazon's workforce reductions may signal a new era for corporate employment in the technology sector.

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