Amazon CEO Andy Jassy says generative AI will reduce the company’s corporate workforce, as automation increasingly replaces routine white-collar roles.
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| CEO Andy Jassy confirms Amazon will reduce its corporate workforce as AI increasingly automates routine tasks, reshaping how work is done in tech. Image: CH |
Seattle, USA – June 18, 2025:
Amazon is preparing to reduce its corporate workforce over the coming years as artificial intelligence takes over a growing number of routine and repetitive tasks. In a note to employees on Tuesday, CEO Andy Jassy confirmed that the company’s investment in generative AI and intelligent agents is reshaping its internal operations and will lead to structural changes in staffing.
“As we roll out more Generative AI and agents, it should change the way our work is done,” Jassy wrote. “We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs.”
While Jassy did not specify the number of roles that may be cut, he emphasized that the deployment of AI is already improving key areas such as customer service, inventory management, forecasting, and product pages. Amazon's AI-powered chatbot is also being upgraded, and the company continues integrating GenAI into both operations and customer-facing services.
The announcement aligns with a broader trend in the tech sector, where artificial intelligence is increasingly streamlining workflows and reducing the need for traditional white-collar labor. As of the end of 2024, Amazon employed over 1.5 million full-time and part-time workers globally, in addition to hiring temporary staff and contractors during peak demand periods.
Industry analysts note that Amazon is not alone in its AI-driven pivot. “Amazon is communicating a message we’ve been increasingly hearing from other technology companies – AI is progressing so fast in improving productivity that the need for hiring will diminish over time,” said Gil Luria, an analyst at D.A. Davidson.
Jassy’s comments come amid a wave of restructuring across the tech industry. Microsoft and Google have also reduced headcount in recent months, even as they tout AI as a key driver of future productivity. Much of the job slowdown is concentrated in software development, where AI tools are now writing code and performing support functions once handled by engineers.
While AI’s disruptive potential has fueled fears of widespread unemployment, most experts predict a transformation rather than elimination of jobs. As AI automates routine roles, new types of employment will emerge in engineering, oversight, and creative fields, potentially reshaping the white-collar workforce rather than erasing it.
Still, for thousands of Amazon employees, the next few years may bring significant changes in how — and if — they work for the e-commerce giant.