Amazon Braces for Mass Layoffs: 16,000 Roles at Risk on Jan 27
Amazon is reportedly set to announce a fresh round of job cuts on January 27, 2026, potentially impacting approximately 16,000 employees globally. This move marks the second phase of a massive restructuring effort aimed at trimming 30,000 corporate roles by mid-2026—the largest workforce reduction in the company’s 30-year history.
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1. Severe Impact on India Teams
Unlike previous rounds that focused heavily on North American operations, this wave is expected to hit Indian hubs especially hard.
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Major Hubs: Corporate teams in Bengaluru, Hyderabad, and Chennai are seen as particularly vulnerable.
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Estimated Local Impact: Reports suggest roughly 1,000 to 2,000 Indian employees could be affected in this phase alone.
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Divisions at Risk: The cuts are expected to target high-salary corporate roles in:
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Amazon Web Services (AWS): Trimming legacy support and program management.
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Prime Video & Studios: Consolidating international content teams.
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PXT (HR): Replacing administrative layers with AI-integrated workflows.
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2. Why the Layoffs? “Culture” vs. “AI”
CEO Andy Jassy has shifted the narrative behind these cuts, moving away from “economic pressure” toward a focus on organizational efficiency.
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“Managerial Bloat”: Jassy has been vocal about removing “excessive layers” of management that slow down decision-making, aiming to return Amazon to a “startup-like” speed.
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The AI Factor: While Jassy claims the cuts aren’t purely AI-driven, internal memos link the restructuring to generative AI automating routine tasks in coding, customer support, and HR operations.
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Targeting PIPs: Internal chatter suggests that employees currently on Performance Improvement Plans (PIPs) may be the first to receive notifications.

3. Timeline of Amazon’s Largest Restructuring
| Phase | Date | Roles Cut | Primary Focus |
| Phase 1 | October 2025 | ~14,000 | White-collar/Administrative |
| Phase 2 | Jan 27, 2026 | ~16,000 | AWS, Prime Video, India Teams |
| Total Cycle | 2025–2026 | ~30,000 | 10% of total corporate staff |
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