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June 18, 2025

Amazon CEO Warns AI Will Shrink Corporate Workforce in Coming Years

Amazon CEO Warns AI Will Shrink Corporate Workforce in Coming Years

Amazon CEO Andy Jassy delivered a stark message to employees this week: artificial intelligence will reduce the company's corporate workforce over the next few years. In an internal blog post, Jassy outlined how AI agents and generative AI tools will fundamentally change how work gets done at the tech giant.

What Amazon's AI Push Means for Jobs

Jassy was direct about the impact on employment, telling staff that Amazon will "need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs." The company currently has over 1,000 generative AI services and applications in development—just a "small fraction" of what Amazon plans to build.

Key takeaways from Jassy's announcement:

  • Workforce reduction expected: Amazon anticipates net corporate workforce decline as AI delivers efficiency gains across the company
  • Massive AI expansion: The company is rapidly scaling AI implementation with thousands of projects underway
  • Employee adaptation crucial: Workers must embrace AI training and experimentation to remain valuable in the changing landscape

The Broader Tech Industry Trend

Amazon isn't alone in this shift. Anthropic CEO Dario Amodei recently predicted that AI could eliminate half of all entry-level white-collar jobs. Meanwhile, a Gallup survey shows workplace AI adoption has nearly doubled over the past two years.

Despite growing AI use, only 15% of employees believe automation will eliminate their jobs within five years. This disconnect suggests many workers may not fully grasp the coming changes.

Amazon's Multi-Billion Dollar AI Investment

The company is backing its AI strategy with substantial capital. Amazon recently announced plans to invest $10 billion in North Carolina for cloud computing and AI infrastructure, plus at least $20 billion for data centers in Pennsylvania.

For employees navigating this transition, Jassy's advice is clear: learn AI tools, attend training sessions, and help build the company's AI capabilities. Those who adapt will be "well-positioned to have high impact" in Amazon's AI-driven future.

đź”— Read the full article on AOL