The AI-Driven Layoff At Amazon: How Will it Impact E-Commerce Giant's India Operations?
The AI-Driven Layoff At Amazon: How Will it Impact E-Commerce Giant's India Operations?
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The AI-Driven Layoff At Amazon: How Will it Impact E-Commerce Giant's India Operations?

Nitin Waghela 🕒︎ 2025-10-30

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The AI-Driven Layoff At Amazon: How Will it Impact E-Commerce Giant's India Operations?

Amid Amazon's global layoff announcement, which is expected to affect 14,000 company personnel, its India operations could face around 800-1000 job cuts.The US-based e-commerce giant's layoff decision comes at a time when the company is embracing a higher rate of AI adoption.The Amazon India layoffs will likely impact departments such as human resources, finance and technology, citing media reports.“The reductions we are sharing today 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,” Beth Galetti, senior vice president of people experience and technology at Amazon, said in the blog post.Amazon.com Inc. has announced a second round of layoffs in as many years, after CEO Andy Jassy warned that AI will shrink the workforce of the second largest employer in the US. The number of affected is 14,000 as against the 30,000 figure claimed by media outlets earlier. Over the past two years, the company has been carrying out piecemeal job cuts across divisions like books, devices and its Wondery podcast business. The layoffs so far have already helped teams move faster, Galetti said.In June 2025, Amazon CEO Andy Jassy said that he expects the company’s workforce to decline in the next few years as the retail and cloud-computing giant uses AI to handle more tasks.Agentic AI “should change the way our work is done”, Jassy had said in an email to employees then. “We will need fewer people doing some of the jobs that are being today, and more people doing other types of jobs.”“It's hard to know exactly where this nets out over time, but in the next few years, we expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company.”According to reports, Amazon is investing more than $100 billion in AI this year, up from $83 billion in 2024. The company will continue to hire in AI-related functions, while culling jobs in others.

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