Amazon plans to cut 14,000 jobs as the company reorganizes to focus on artificial intelligence. The e-commerce giant announced the workforce reduction on October 28, 2025, explaining that the changes will help the company respond faster to market shifts.
Restructuring for AI Innovation
According to AL.com, Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, addressed concerns about the cuts. She noted that some may wonder why the company is reducing roles when it is performing well.
Galetti explained that this generation of AI is the most transformative technology since the internet. She said it enables companies to innovate much faster than ever before. The company believes it needs to organize more leanly with fewer layers and more ownership to move quickly for customers and business.
CEO Signals Change Months Earlier
The layoffs follow a June statement from CEO Andy Jassy. He told employees that Amazon would need fewer people in existing roles as generative AI technology advances. Jassy also sent a September note indicating the company would evaluate its organizational structure to foster efficiency.
Support for Affected Workers
Amazon will offer impacted employees 90 days to find new positions within the company. Workers who cannot secure internal roles will receive transition support. This support includes severance pay and health care benefits.
The announcement removes corporate layers and shifts resources toward AI development. The company aims to stay competitive as artificial intelligence reshapes how businesses operate. Amazon joins other major tech firms making workforce adjustments to adapt to rapid technological change.
The move reflects broader industry trends as companies balance traditional operations with investments in new AI capabilities. Amazon stated that the restructuring will position the company to take advantage of emerging opportunities in artificial intelligence and machine learning.
