Amazon Layoffs: Inside the Biggest Workforce Restructuring and Its Impact on Employees

Amazon, the global technology and e-commerce giant, has initiated its most significant round of layoffs in recent history, marking a pivotal moment for its corporate workforce and the broader tech industry. With around 14,000 jobs already affected in October 2025 and internal targets suggesting the number could climb as high as 30,000, Amazon’s restructuring strategy has sparked intense debate about corporate priorities, employee welfare, and the future of work in an era dominated by artificial intelligence (AI) and efficiency.

Scale and Timing of the Amazon Layoffs

The layoffs began on October 28, 2025, with notifications rapidly rolling out to affected employees via email, targeting staff across multiple geographies including the United States, United Kingdom, Canada, and India. Managers received training a day in advance to facilitate effective and compassionate communication of the difficult news. This represents nearly 4% of Amazon’s 350,000-strong corporate team, making it the largest one-time layoff in the company’s history, surpassing the 27,000 roles eliminated since 2022.

Divisions Most Impacted

Amazon has concentrated these cuts within several strategic units:

• Amazon Web Services (AWS)

• Devices and Operations

• The People Experience and Technology (PXT) team

• Human Resources (HR), where as much as 15% of roles could be lost.

These layoffs especially target white-collar and tech-focused employees, sparing core logistics and warehouse staff. Amazon’s fulfillment centers remain in hiring mode, onboarding over 250,000 seasonal workers to manage the upcoming holiday shopping rush.

Reasons Behind the Job Cuts

The main drivers for the layoffs include:

• Correcting Over-hiring During The Pandemic:
 Amazon ramped up hiring throughout the COVID-19 era to meet a surge in online shopping demand, leading to a ballooned workforce.

• Focus On Efficiency And Cost-Cutting:
 As consumer spending patterns normalize, Amazon is taking corrective steps to reduce expenses and improve operational efficiency.

• Adoption of Artificial Intelligence:
 CEO Andy Jassy emphasised that AI would increasingly transform Amazon’s productivity, automation, and cost structure. Over $100 billion is set to be invested in generative AI and related technologies in 2025, accelerating workforce reduction in non-essential management layers.

• Restructuring Management and Operations:
 Amazon aims to simplify processes, remove unnecessary bureaucracy, and prioritize core business and customer needs. Around 1,500 employee suggestions were received on improving efficiency, leading to 450 concrete changes.

Impact on Employees and Severance Details

Most employees affected will continue to receive their salary and benefits for a 90-day notice period, and are being encouraged to apply for other internal roles before their employment officially ends. However, the process has drawn criticism regarding the use of email notifications and the pressure to resign for those unwilling to comply with Amazon’s strict return-to-office policy.

India and Global Perspective

Between 800 and 1,000 jobs in India are expected to be cut, mostly in finance, HR, and operations, reflecting the global reach and scale of Amazon’s cost-cutting efforts. These changes align Amazon with broader industry trends where tech giants leverage automation and AI while shrinking traditional corporate roles.

Long-Term Outlook and Industry Impact

Amazon’s layoffs highlight a larger corporate shift towards leaner, more agile operations. The tech sector is increasingly focused on AI-based productivity and automating repetitive tasks, raising questions about the future job landscape for tech professionals worldwide. As CEO Andy Jassy continues to drive this transformation, Amazon will remain a bellwether for how technology redefines work and business priorities in the coming years.

Amazon’s 2025 layoffs mark a turning point for both the company and its employees globally, reflecting the demands of a post-pandemic economy and the tech industry’s race toward AI-driven innovation. For stakeholders, this wave of restructuring signals the importance of adaptability, continuous learning, and anticipating the impact of automation on future job security.