Amazon is reportedly planning to reduce its workforce in India by 800 to 1,000 employees as part of a global restructuring effort impacting approximately 14,000 roles. The move aligns with the company's increasing focus on artificial intelligence (AI) and cost reduction.
The layoffs in India are expected to affect corporate employees across various departments, including finance, marketing, human resources, and technology. Sources indicate that the job cuts will largely impact those who report to Amazon's global teams. The notifications to impacted employees in India are expected to be rolled out in phases over the next few days.
This restructuring follows Amazon CEO Andy Jassy's announcement in June 2025 that AI would lead to a workforce reduction in the coming years. Jassy stated that AI "should change the way our work is done," requiring "fewer people doing some of the jobs that are being today, and more people doing other types of jobs". Amazon has significantly increased its investment in AI, allocating over $100 billion this year compared to $83 billion in 2024. The company will continue to hire in AI-related functions while reducing jobs in other areas.
In a memo to employees, Amazon's Senior Vice President of People Experience and Technology, Beth Galetti, stated that the reductions are a "continuation of this work to get even stronger by further reducing bureaucracy, removing layers, and shifting resources to ensure we're investing in our biggest bets". Galetti also alluded to potential job cuts in 2026, stating that Amazon expects to continue hiring in key strategic areas while also "finding additional places we can remove layers, increase ownership and realise efficiency gains".
The company has approximately 1.55 million employees globally as of June 30, including roughly 350,000 in corporate roles. This marks Amazon's second major round of layoffs in recent years, following the elimination of 27,000 positions between late 2022 and early 2023. These previous cuts were largely attributed to a correction for over-hiring during the pandemic-fueled e-commerce boom.
Amazon has stated that it will support affected employees with severance packages, outplacement services, and continued health insurance benefits. Most impacted employees will be given 90 days to seek internal positions, with recruiting teams prioritizing internal candidates.
Despite these workforce reductions, Amazon maintains that India remains a key strategic market. In June, the company announced a Rs 2,000 crore investment to expand and upgrade its logistics and fulfillment infrastructure in the country. While Amazon's India revenue for fiscal year 2025 grew at a moderate pace compared to the pandemic years, its losses narrowed due to lower marketing expenses and employee costs.
