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Amazon to cut an additional 16K jobs

Move follows 14,000 layoffs late last year as retail giant works to cut costs and streamline operations via AI
Amazon Fresh exterior
Amazon is cutting another 16,000 jobs. | Heather Lalley

Amazon on Wednesday said it would eliminate approximately 16,000 jobs companywide as it works to cut costs and streamline operations. The layoffs come less than three months after the Seattle-based retail giant said it would cut 14,000 corporate jobs as it pivots its focus to artificial intelligence. 

“As I shared in October, we’ve been working to strengthen our organization by reducing layers, increasing ownership, and removing bureaucracy,” Beth Galetti, senior vice president of people experience and technology at Amazon, wrote in a memo to employees Wednesday. “While many teams finalized their organizational changes in October, other teams did not complete that work until now.”

U.S.-based employees whose jobs are being eliminated will have 90 days to look for a new role inside Amazon, Galetti said. Those who cannot find a new job will be given severance pay, job search assistance and, in some cases, health insurance benefits, the retailer said. 

The company cautioned that it is not undertaking a hiring freeze and that it is still investing in growth. 

“Some of you might ask if this is the beginning of a new rhythm—where we announce broad reductions every few months,” Galetti wrote. “That’s not our plan. But just as we always have, every team will continue to evaluate the ownership, speed and capacity to invent for customers, and make adjustments as appropriate.”

Amazon is the country’s second-largest private employer, after Walmart, with 1.55 million employees globally, according to a federal filing in 2025. 

Amazon on Tuesday announced it would close all of its Amazon Fresh grocery stores and Amazon Go convenience stores, converting some units to Whole Foods Market locations. The company said it would also focus on same-day grocery delivery. 

Amazon’s stock price is up 7.5% so far this year. The company is scheduled to report its fourth-quarter earnings on Feb. 5. 

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