Fresh job cuts likely to impact corporate and AWS roles
Unconfirmed reports suggest that tech giant Amazon is preparing for a significant reduction in its workforce, with speculation mounting that the company could cut approximately 16,000 jobs starting January 27. This potential move marks the second phase of a broader restructuring plan that has already seen thousands of roles eliminated in recent months.
Rumors of Massive Cuts
Discussions on professional networking platforms like Blind and Reddit indicate that employees are bracing for bad news early next week. While Amazon layoffs 2026 have not been officially announced by the company, internal chatter suggests that managers and senior leaders have dropped hints regarding upcoming changes. If these numbers hold true, the total job losses over the last few months could approach the 30,000 mark, following an initial round of 14,000 cuts reported last year.
AI and Automation Driving Changes
Industry experts believe this fresh wave of retrenchment is heavily influenced by the rise of Artificial Intelligence (AI). Unlike previous cuts that affected warehouse and retail operations, this round is expected to target high-paying corporate roles. As the company integrates more automation and AI-driven tools for hiring and internal processes, large administrative teams may no longer be required.
Impact on AWS and HR
Reports indicate that Amazon’s internal HR division, known as People Experience and Technology (PXT), faces deep reductions. More surprisingly, the company’s profit engine, Amazon Web Services (AWS), is also likely to see trimming. Growth at AWS has reportedly slowed compared to rivals, prompting a shift in spending toward generative AI and data centers rather than legacy support roles.
Management Restructuring
CEO Andy Jassy has previously emphasized the need to reduce "managerial bloat." Over the past year, the company has focused on flattening its organizational structure to speed up decision-making. This strategy often involves team consolidations and asking fewer employees to handle more responsibilities.
Earlier reports from Newsweek highlighted that between 1,000 and 2,000 employees had already received WARN notices earlier this month. However, the scope of the January 27 cuts is expected to be global, potentially impacting teams in India as well.
