On Wednesday, Amazon CEO Andy Jassy notified employees that the company plans to significantly reduce its corporate workforce in the upcoming years as it integrates generative artificial intelligence tools and AI agents.
In a message to Amazon employees, Jassy described generative AI as “a once-in-a-lifetime technology” that will transform how the company operates. The CEO of one of the world’s wealthiest tech companies urged employees to learn how to use AI tools and “how to get more done with scrappier teams.”
“We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs,” Jassy wrote in the memo. “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 gain efficiency from using AI extensively across the company.”
Experts interpret Jassy’s memo—sent to Amazon’s 1.5 million full-time and part-time employees as of the end of March—as an early indication of the company’s next wave of layoffs. Amazon has already dismissed tens of thousands of workers in recent years. In 2022, the company cut 27,000 jobs, and further reductions have taken place this year as well.
As tech companies like Amazon implement AI tools both internally and for consumers, Jassy’s communication clearly indicates that artificial intelligence will reshape the workforce. However, the underlying Amazon’s message also suggests that white-collar positions, particularly in product-focused tech firms, are at risk. The once-secure high-paying tech jobs are now vulnerable due to AI-driven automation, which may render certain roles obsolete.
At major tech companies such as Meta and Microsoft, up to 30 percent of the code is now generated by AI tools.
Dario Amodei, CEO of Anthropic—one of the prominent players in the AI industry—has cautioned that AI could potentially eliminate up to half of all entry-level white-collar jobs and drive unemployment rates to 10–20 percent within the next one to five years. Amodei’s stark warning has triggered a variety of responses across the internet in recent days.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream formerly known as CIO News LinkedIn Account | The Mainstream formerly known as CIO News Facebook | The Mainstream formerly known as CIO News Youtube | The Mainstream formerly known as CIO News Twitter |The Mainstream formerly known as CIO News Whatsapp Channel | The Mainstream formerly known as CIO News Instagram
About us:
The Mainstream formerly known as CIO News is a premier platform dedicated to delivering latest news, updates, and insights from the tech industry. With its strong foundation of intellectual property and thought leadership, the platform is well-positioned to stay ahead of the curve and lead conversations about how technology shapes our world. From its early days as CIO News to its rebranding as The Mainstream on November 28, 2024, it has been expanding its global reach, targeting key markets in the Middle East & Africa, ASEAN, the USA, and the UK. The Mainstream is a vision to put technology at the center of every conversation, inspiring professionals and organizations to embrace the future of tech.
