Amazon CEO Announces Job Reductions Due to AI Efficiency

Amazon CEO Announces Job Reductions Due to AI Efficiency Amazon CEO Announces Job Reductions Due to AI Efficiency

Amazon CEO Andy Jassy says AI will slash corporate headcount over the next few years. In a memo Tuesday, Jassy linked job cuts to “efficiency gains from using AI extensively” but didn’t say how many roles will go.

Jassy framed the shift as inevitable with more generative AI tools coming online.

He wrote that “We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs.”

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Jassy urged workers to embrace AI to stay relevant.

Andy Jassy stated:

Those who embrace this change, become conversant in AI, help us build and improve our AI capabilities internally and deliver for customers, will be well-positioned to have high impact and help us reinvent the company.

Other tech bosses are making similar moves. Shopify CEO Tobi Lütke told staff in April to justify why AI can’t replace requested hires. Duolingo CEO Luis von Ahn plans to swap contract workers for AI as part of an “AI-first” strategy.

Amazon’s AI-driven job cuts mark the latest wave in tech companies reshaping workforces around automation.

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