Amazon is reportedly preparing to cut around 30,000 jobs in its corporate division. Amazon intends to significantly alter its central structures and reorganize several core areas. According to Reuters, AWS, Prime Video, online retail, and human resources are among the affected departments. The job cuts are expected to begin soon and will accompany a larger reorganization. (reuters: 23.01.26)
Amazon sets clear priorities for job cuts
Back in October 2025, Amazon eliminated approximately 14,000 administrative positions. However, these cuts were just the first step. Now, a second wave is planned, bringing the total number of job losses to around 30,000. This would make the job cuts more extensive than in previous programs. The reductions in 2022 were lower.
The timing is strategic. The transition periods for many previously laid-off employees are currently expiring. This allows Amazon to link internal applications and redistributions with the next round of cuts. At the same time, the pressure is increasing on teams to redefine roles more quickly. Many departments need to reorganize responsibilities.
Reorganization moves into focus for the company
The focus is less on technology and more on organization. CEO Andy Jassy emphasized in previous statements that Amazon had become too complex over the years. A network of levels and roles had formed, slowing down decision-making. The reorganization aims to reduce this complexity. The job cuts serve as leverage to streamline structures.
While artificial intelligence plays a supporting role, it is not considered the primary reason. The tech giant is primarily pursuing efficiency and faster processes. Furthermore, costs are to be reduced without weakening the core business. For the capital market, the key question is whether Amazon can more closely integrate growth and profitability.
AWS, Prime Video, and administration in focus
Central business units are particularly affected. AWS is considered the most important revenue stream, which is why cuts there attract considerable attention. Prime Video is also in focus because the streaming division ties up large budgets. In online retail, processes are to be streamlined to stabilize margins. The human resources department is also part of the restructuring.
Amazon employs around 1.58 million people worldwide, primarily in logistics. Nevertheless, the elimination of approximately 30,000 office jobs will have a noticeable impact on the core corporate operations. According to reports, this represents about ten percent of office jobs. At the same time, operational areas will be significantly less affected.
Consequences for Employees and the Labor Market
This move sends a strong signal to the labor market. When a global e-commerce giant of this size cuts jobs, competitors and suppliers react sensitively. Furthermore, many qualified professionals are entering the market simultaneously. This could intensify competition for positions in the short term. In the long term, it could lead to new business start-ups and employees switching to competitors.
Amazon has not yet officially confirmed the new information. Nevertheless, its previous approach points in a clear direction. The company wants to make decisions more quickly and establish clear lines of responsibility. The job cuts are therefore part of a larger restructuring, not just a cost-cutting measure. The crucial question remains how Amazon will operationally mitigate the impact of these cuts in key areas.