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Amazon is planning to cut up to 30,000 corporate jobs starting Tuesday as the company works to reduce costs and offset overstaffing during peak pandemic demand, according to three people familiar with the matter.
The figure represents a small percentage of Amazon's 1.55 million employees, but nearly 10% of the company's roughly 350,000 corporate employees. It would represent the largest job cuts at Amazon since it eliminated about 27,000 jobs starting in late 2022.
Amazon has been cutting a smaller number of jobs over the past two years across multiple divisions, including devices, communications, podcasts and more. The cuts that begin this week could affect a range of divisions within Amazon, including human resources, known as People Experience and Technology, devices and services and operations, among others, the sources said.
Managers of affected teams were asked to attend training on Monday on how to communicate with staff after the notifications will begin being sent by email on Tuesday morning, the sources said.
Amazon CEO Andy Jassy is taking an initiative to reduce what he has described as excessive bureaucracy at the company, including cutting the number of managers. He set up an anonymous complaint line to identify inefficiencies that has prompted about 1,500 responses and more than 450 process changes, he said earlier this year.
Jassy said in June that the growing use of artificial intelligence tools is likely to lead to further job cuts, particularly through the automation of repetitive and routine tasks.
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