What: Amazon is set to cut thousands more corporate jobs, impacting nearly 10% of its white-collar workforce across AWS, retail, and HR divisions.

Why it is important: The decision underscores how leading retailers are rethinking organisational culture and cost structures in response to technological change.

Amazon’s plan to eliminate thousands of additional corporate positions, nearly 10% of its white-collar workforce, signals a significant shift in the company’s approach to organisational structure and efficiency. These cuts, which follow a previous round of 14,000 layoffs, will affect key divisions including AWS, retail, Prime Video, and HR. While earlier reductions were linked to the rise of artificial intelligence and automation, CEO Andy Jassy has clarified that the current wave is driven by a need to address internal bureaucracy and streamline company culture, rather than immediate financial pressures or AI alone. This approach reflects a broader trend among major retailers, who are increasingly leveraging technology to optimise operations while simultaneously reassessing their internal processes and leadership strategies. The layoffs, the largest in Amazon’s history, come at a time when the retail sector is experiencing widespread restructuring and a move away from traditional hiring models, underscoring the profound impact of technological advancement and organisational change on employment in the industry.

IADS Notes: Amazon’s restructuring aligns with industry-wide changes observed in March 2025, when the company eliminated 14,000 managerial roles to enhance efficiency. Analyses from October 2025 show that AI and automation are accelerating workforce changes, especially in HR and cloud services, prompting a reassessment of required skills. Leadership’s focus on cultural transformation over cost-cutting mirrors findings from March 2025, which emphasise the need for deep organisational change. The retail sector’s surge in layoffs and reduced seasonal hiring, as seen in March and September 2025, highlights the broader impact of automation and economic uncertainty on employment trends.

Amazon plans thousands more corporate job cuts next week