Amazon Plans Second Major Layoff Wave Targeting 30,000 Corporate Roles

According to Reuters sources, Amazon (AMZN) is preparing to execute its second major workforce reduction in four months next week. This follows October 2025's elimination of 14,000 corporate roles and advances the company's stated goal of cutting approximately 30,000 positions from its corporate workforce.

The upcoming layoffs represent a continuation of Amazon's operational restructuring rather than a new strategic shift. Internal communications since last fall have consistently referenced the 30,000 reduction target, suggesting these cuts were planned as sequential phases rather than reactive measures. Corporate employees across Amazon's global offices are expected to be impacted, though specific departments weren't disclosed.

While Amazon hasn't publicly confirmed the timeline, this aligns with their Q4 earnings report emphasis on "streamlining cost structures." The 30,000 reduction equates to roughly 10% of Amazon's corporate workforce – a significant contraction though notably less severe than the 35% cuts at Meta during its 2022-2023 restructuring.

Contextualizing these moves:

1. Operational Efficiency Focus: Amazon's retail and AWS divisions continue facing margin pressure, driving increased scrutiny on corporate overhead costs. Recent earnings showed AWS growth slowing to 12% year-over-year.

2. Industry Benchmarking: Tech layoffs reached 260,000 in 2025 according to Layoffs.fyi data. Amazon's cuts represent nearly 12% of that total, though notably planned as a coordinated program rather than reactive reductions.

3. Automation Integration: Internal documents reference increased deployment of AI tools for operational tasks previously handled by junior corporate roles, particularly in recruiting, procurement, and basic financial analysis.

Critical unknowns remain:

• Severance package structure compared to October's offerings
• Geographic distribution of impacted roles
• Whether this concludes the 30,000 reduction target
• Specific performance metrics used for role elimination decisions

Amazon's approach appears calculated to avoid the market perception challenges faced by Google's staggered 2024 layoffs. By establishing a clear overall target upfront, they potentially mitigate recurring negative publicity. However, employee morale nears historic lows according to internal surveys, with remaining staff reporting 30% increased workload since October's reductions.

The actual business impact remains measurable only through future earnings reports. Previous research from MIT Sloan indicates that companies cutting more than 8% of staff typically see decreased innovation output for 12-18 months post-reduction. Amazon's ability to maintain product development velocity while executing these cuts will be a key indicator of operational resilience.

For affected employees, Amazon maintains a public job portal listing open positions across the company, though internal transfers face documented bureaucratic hurdles. Industry analysts suggest the cuts may accelerate talent migration to AI-focused startups, particularly those developing enterprise automation tools competing with Amazon's offerings.