Amazon Cuts 16,000 Jobs in Broad Organizational Restructuring

Amazon said Wednesday (Jan. 28) that it is cutting roughly 16,000 jobs across its global workforce, marking one of the largest headcount reductions in the company’s history.

The layoffs place Amazon among a growing list of companies across financial services, payments and technology recalibrating headcount as they invest more heavily in automation and artificial intelligence (AI).

In a message to employees shared publicly and attributed to Beth Galetti, Amazon’s senior vice president of People Experience and Technology, the company said the job reductions stem from an ongoing effort “to strengthen our organization by reducing layers, increasing ownership, and removing bureaucracy.”

Galetti said the layoffs are not intended to signal more workforce reductions to come. “That’s not our plan,” she wrote, before going on to add the caveat that teams will continue to reassess their organizational structure to “make adjustments as appropriate.” At the same time, Amazon said it will continue hiring and investing in strategic areas critical to its long-term growth, signaling a reallocation of talent rather than a full retreat from expansion.

Amazon’s move adds to a growing list of high-profile layoffs in the recent past, reflecting a broader recalibration across industries. Citigroup is reportedly planning another round of job cuts in March, following the elimination of about 1,000 roles earlier this month, with high-level workers such as managing directors and other senior employees expected to be affected. These reductions come as the bank aligns rethinks its staffing in light of growing technological capabilities such as emerging AI tools.

It is not only high-level employees who are facing job losses due to new technologies. Nike disclosed plans to cut 775 distribution center jobs as it accelerates automation, while Pinterest said it will reduce about 15% of its workforce — roughly 700 employees — as it pivots resources toward AI-focused products and teams.

Job loss is a key concern for many workers today. PYMNTS Intelligence research finds that, as of September, 10% of employed individuals feel their employment is unstable, and that was before the latest rounds of mass layoffs. Data from Challenger, Gray & Christmas shows that AI adoption and cost-cutting fueled a 175% year-over-year jump in U.S. layoffs in October, highlighting how technological change continues to reshape employment across sectors Amazon itself helps power.