ABP Live Deep Dive:Amazon has initiated another sweeping round of layoffs, cutting around 16,000 roles globally in what marks its second major workforce reduction in just three months. The decision adds to nearly 30,000 jobs eliminated over the past year and signals a deeper organisational reset inside the e-commerce giant.
The announcement came through an internal message from Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, who explained the reasoning behind the move and what it means for employees and the company’s future direction.
A Delayed Restructuring That Finally Caught Up
According to Galetti, the layoffs are not a sudden reaction but the completion of a restructuring process that began months ago. Some teams had finalised changes in October, but others had not wrapped up their internal reviews. Those delayed adjustments have now translated into job reductions.
She wrote, “I want to let you know that we’re making additional organisational changes across Amazon that will impact some of our teammates. I recognise this is difficult news, which is why I’m sharing what’s happening and why.”
She further explained, “As I shared in October, we’ve been working to strengthen our organisation by reducing layers, increasing ownership, and removing bureaucracy. While many teams finalised their organisational changes in October, other teams did not complete that work until now.”
In simple terms, Amazon believes its internal structure has become too layered and slow, and this round of layoffs is part of flattening that hierarchy.
Rolling Back Pandemic Hiring and Refocusing Priorities
During the pandemic, Amazon hired aggressively to handle a surge in online shopping and digital demand. As growth stabilised, the company began reassessing whether that expanded workforce still matched its current needs.
This round follows about 14,000 job cuts by the end of 2025 and the 27,000 layoffs announced in 2023. The pattern shows a clear effort to recalibrate the company’s size after years of rapid expansion.
At the same time, Amazon is increasingly investing in artificial intelligence and other long-term bets. The company says it is redirecting resources to areas that are considered critical for its future.
Galetti noted, “While we’re making these changes, we’ll also continue hiring and investing in strategic areas and functions that are critical to our future. We’re still in the early stages of building every one of our businesses, and there’sa significant opportunity ahead.”
What Happens to Employees Who Lost Their Roles
Amazon has offered support measures for affected employees, particularly in the United States. These include a 90-day window to apply for other internal roles and transition benefits for those who do not find a new position.
Galetti said, “The reductions we are making today will impact approximately 16,000 roles across Amazon, and we’re again working hard to support everyone whose role is impacted. That starts with offering most US-based employees 90 days to look for a new role internally (timing will vary internationally based on local and country-level requirements). Then, for teammates who are unable to find a new role at Amazon or who choose not to look for one, we’ll provide transition support including severance pay, outplacement services, health insurance benefits (as applicable), and more.”
Is This the New Normal at Amazon?
Frequent layoffs can raise concerns about instability, something Galetti addressed directly in her note to employees.
She wrote, “Some of you might ask if this is the beginning of a new rhythm – where we announce broad reductions every few months. 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. That’s never been more important than it is today in a world that’s changing faster than ever.”
She closed the message on a note of appreciation, saying, “I’m grateful for how our teams continue to deliver – for customers, for each other, and for the incredible things we’re building together.”
For Amazon, the layoffs appear less about an immediate crisis and more about reshaping the company to move faster, operate leaner, and prioritise long-term bets such as artificial intelligence.
