Amazon announces 16,000 more job cuts in pivot toward AI investment

2026-01-28 - 13:10

Amazon has declared a second significant round of workforce reductions, planning to cut approximately 16,000 jobs. The US-based technology and retail conglomerate stated the layoffs are part of an effort to streamline operations, reduce bureaucratic inefficiencies, and reallocate capital for future investments, with a clear focus on artificial intelligence (AI). Part of a Broader Restructuring Strategy This announcement follows a previous round of layoffs in October 2025, which saw 14,000 corporate roles eliminated. In a statement, Amazon confirmed it is working to support the impacted employees. Despite the cuts, the company emphasized it will continue hiring in areas it deems critical for long-term growth. "We're still in the early stages of building every one of our businesses and there’s significant opportunity ahead," the statement read. Leadership Cites Need for Agility Beth Galetti, Amazon’s senior vice president of people experience and technology, linked the restructuring to the need for speed and innovation. "That’s never been more important than it is today in a world that’s changing faster than ever," she said, explaining that teams will continually evaluate their capacity to invent for customers. This shift reflects a broader trend in the global tech sector, where companies are pivoting resources toward next-generation technologies like AI, a field where nations like Türkiye are also making substantial national investments. Warehouse Workforce Unaffected The job cuts primarily affect corporate roles and will not directly impact the majority of Amazon's 1.578 million employees, who are hourly workers in the company's vast global network of fulfillment and logistics centers. The move underscores a strategic reprioritization within one of the world's largest employers as it navigates evolving economic and technological landscapes.