SEATTLE, USA — Amazon said on Wednesday, January 28, 2026, that it would eliminate about 16,000 positions across the company as part of a continuing effort to streamline its operations and reshape its organisational structure.
The announcement was made in a memo to employees from Beth Galetti, Amazon’s senior vice president of people experience, who said the job reductions would affect roles across multiple parts of the business.
“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,” Ms Galetti wrote.
She added: “That starts with offering most US-based employees 90 days to look for a new role internally.”
She said the company would “continue hiring and investing in strategic areas and functions that are critical to our future.”
Ms Galetti said the cuts were intended to “strengthen our organization by reducing layers, increasing ownership, and removing bureaucracy.”
Previous Layoffs and Corporate Changes
The latest round of job cuts follows an earlier reduction announced in October, when Amazon said it would eliminate 14,000 positions, mainly in corporate roles. At the time, Ms Galetti described artificial intelligence as the “most transformative technology we’ve seen since the internet.”
Amazon said in a regulatory filing last year that it employed about 1.55 million people worldwide.
Earlier this week, the company also announced plans to close some Amazon Go and Amazon Fresh physical stores. Some of those locations are expected to be converted into Whole Foods Market outlets.
Although artificial intelligence was not directly referenced in Wednesday’s memo, the announcement comes amid growing concerns among workers about the effects of automation and technology in a slow-moving labour market.
Broader Industry and Economic Context
Across the corporate sector, companies have increasingly pointed to efficiency as they reorganise their workforces and expand the use of artificial intelligence.
On Monday, David Solomon, the chief executive of Goldman Sachs, said the bank’s headcount would be “more constrained in 2026” as it sought “opportunities for efficiency.”
On Tuesday, Pinterest said it would cut 15 per cent of its workforce as it shifted resources toward “AI-focused roles and teams that drive AI adoption and execution.”
Other major companies have also announced layoffs in recent years. Microsoft said last year that it would eliminate 9,000 jobs to improve efficiency.
Target reduced its corporate workforce by 1,800 positions, citing efforts to reduce “complexity.”
Meta Platforms, which owns Instagram and Facebook, cut about 600 jobs as it moved further into artificial intelligence.
These corporate reductions have taken place against a backdrop of slowing hiring and persistent inflation in the United States.
After three consecutive months of contraction last year, the economy added 56,000 jobs in November and 50,000 in December. Inflation has remained at 2.7 per cent, above the Federal Reserve’s target of 2 per cent.
