Amazon, the e-commerce giant synonymous with scale and efficiency, is reportedly preparing for another round of layoffs—this time targeting as much as 15% of its human resources staff, with additional cuts expected across multiple divisions. According to sources close to the company, the reductions will primarily affect the People eXperience and Technology (PXT) division, Amazon’s internal HR and recruiting powerhouse.

While Amazon has not confirmed the move, insiders describe the decision as part of a broader cost-optimization strategy led by CEO Andy Jassy, who continues to reshape the company around artificial intelligence and automation.

A Renewed Focus on Efficiency

Over the past few years, Amazon has been navigating a changing corporate landscape marked by slowing consumer demand, shifting post-pandemic dynamics, and fierce competition in the AI arms race. Following the company’s largest-ever layoffs between 2022 and 2023—cutting more than 27,000 corporate roles—this new wave signals that Amazon’s cost-cutting era is far from over.

At the same time, the company is investing heavily in the future: Amazon has pledged to spend more than $100 billion in capital expenditures this year to expand its AI infrastructure and data centers. This ambitious investment underscores Jassy’s vision of transforming Amazon from a retail and logistics leader into a major player in cloud-based AI services.

The Human Cost of AI Integration

Jassy’s internal communications have made one thing clear—AI is both the company’s biggest opportunity and its next great disruptor. In a companywide memo earlier this year, he warned employees that automation would inevitably reshape the workforce:

“Those who embrace this change, become conversant in AI, and help us build our AI capabilities will be well-positioned to have high impact. We expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company.”

This echoes a growing sentiment across the tech world—AI will not just transform industries, but redefine the human roles within them. Amazon’s HR team, once at the center of global expansion, now finds itself on the front lines of this evolution.

The Balancing Act

Under Jassy’s leadership, Amazon has leaned into “unregretted attrition” (URA)—a management policy that encourages departments to maintain a target percentage of employees the company can afford to lose. However, insiders suggest that the current discussions go beyond routine optimization. The tone is more strategic, aiming to align resources with the company’s long-term AI and automation roadmap.

Despite corporate reductions, Amazon continues its traditional holiday hiring push, announcing plans to onboard 250,000 seasonal warehouse workers across the U.S.—a reminder that its physical logistics engine remains the company’s operational backbone.

Beyond Numbers

Amazon’s transformation is more than a cost-cutting exercise—it’s a signal of where the future of work is heading. As AI accelerates productivity and streamlines operations, corporations face the challenge of balancing innovation with human capital. For Amazon, a company that helped define the modern workforce, this balance may determine its next era of growth—or its biggest cultural test yet.

The tech world is watching closely. As the company prepares for its next earnings report, the question remains: Can Amazon’s push for AI-driven efficiency coexist with its human-driven foundation—or is one destined to replace the other?