Amazon Cuts Nearly 1,000 More White-Collar Jobs

Amazon is laying off nearly 1,000 more white-collar workers, mostly in its Stores division, amid record AI infrastructure spending.

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Amazon Cuts Nearly 1,000 More White-Collar Jobs

By @sharedot · · 8 pages

  • Business
  • Layoffs
  • Amazon
  • Retail
  • Labor

Amazon is laying off nearly 1,000 more white-collar workers, mostly in its Stores division, amid record AI infrastructure spending.

What happened: a new round of cuts lands

8, 2026, that it eliminated a small number of roles — fewer than 1,000 white-collar workers, according to a person familiar with the matter — primarily in its Stores unit, which oversees the main e-commerce website. Business Insider first reported the layoffs on Tuesday after employees posted in an internal Slack channel of nearly 37,000 members that they had received emails saying their roles were eliminated. Affected employees in the U.S., India and the U.K. were among those getting pink slips, and the cuts landed just as Amazon wrapped its Prime Big Deal Days promotion.

Which teams were hit

The reductions reached beyond retail alone. Internal Slack messages reviewed by Business Insider suggest cuts across several business units, including customer service, marketplace support, selling partner services, and engineering roles in Amazon's retail business, with possible impact in other units across the company. In the Slack channel, employees asked about severance terms, access to internal job postings, handling of medical leave, and whether workers who take an outside offer during the 90-day notification period would forfeit severance if they left early.

Why the timing is striking

The layoffs coincide with one of Amazon's biggest shopping days, the Prime Big Deal Days promotion, which ran Tuesday and Wednesday — an unusual backdrop for announcing white-collar cuts in the retail unit driving that event. They also come as Amazon prepares a record $220 billion spend on data centers, chips and other AI infrastructure, following roughly 30,000 job cuts that began late last year and continued into January. The pattern of pairing cost cuts with a bigger AI push mirrors moves at Meta, which eliminated roughly 8,000 roles in May, and Microsoft, which cut more than 5,000 jobs across July and September, per Business Insider.

The evidence: anxiety inside Amazon

The scale and mood of the cuts are documented in detail by Business Insider's internal reporting: a Slack channel with nearly 37,000 members filled with questions about whether all notices had been sent and whether cuts would reach Mexico or Europe. According to Business Insider, employees had been bracing for layoffs for months, and some leaders scaled back planning for the next several quarters because they expected their teams or priorities to change. Reuters similarly reported that affected employees shared internal Slack posts directly with its reporters, corroborating the breadth of the reductions.

The stakes: restructuring versus AI spending

An Amazon spokesperson said the company adjusted parts of its Stores business because the new structure will 'better enable us to deliver on our priorities,' and committed to supporting affected employees through their transition. The broader context is a company reshaping its corporate workforce while pouring money into AI: even as it cuts, Business Insider reports Amazon has been reaching out to former employees, including some laid off in earlier rounds, about open roles in AWS and its AI businesses. The tension between cost discipline and record AI investment is defining this phase of Amazon's corporate strategy.

What comes next

Founder and executive chairman Jeff Bezos said in a Fox News interview aired Wednesday that continued job cuts have been necessary because the company overhired during the pandemic, when 'people were staying home and they were ordering,' and acknowledged public fears about AI's impact on employment while saying he disagreed with predictions of a more troubling outcome. FOX Business reported that Amazon's stock (AMZN) slipped 2.05% to $254.60, and the outlet has reached out to Amazon for additional comment.

Sources

  1. foxbusiness.com › Amazon to cut nearly 1,000 white-collar jobs across stores division and other units: report
  2. businessinsider.com › Amazon employees hit by fresh job cuts across several teams
  3. thehindu.com › Amazon makes fresh job cuts, mainly in retail division

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