Amazon CEO Andy Jassy Warns of Job Cuts as AI Transforms Workforce

Finance Yahoo

Amazon CEO Andy Jassy AI Will Replace Jobs
Amazon CEO Andy Jassy pictured against the company’s logo as the tech giant navigates workforce changes during the AI transformation era.

Amazon CEO Andy Jassy has made it clear that artificial intelligence is not just a buzzword at Amazon; it is a force that is actively reshaping the company’s workforce. In a recent memo to employees, Jassy stated,

As we roll out more Generative AI and agents, it should change the way our work is done. We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs.”

This signals a major shift in how work is structured at Amazon, and it is already having real consequences for employees. The company has already laid off thousands in recent years, cutting over 27,000 jobs since 2022, and more reductions are expected as AI becomes more deeply embedded in daily operations. Amazon now uses over 1,000 generative AI services and applications across its business, from inventory management to customer service, making many traditional roles less necessary. Jassy’s message is clear: employees must adapt and upskill to work alongside AI, or risk being left behind.

This approach is not unique to Amazon. Microsoft is also planning significant layoffs, especially in its sales teams, as it invests billions in AI infrastructure. The trend is industry-wide, with other tech giants like Intel and Meta also streamlining their workforces in response to the rapid adoption of automation and AI technologies.

Jassy’s statement that

“we will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs

Captures the heart of the transition. While some roles are disappearing, new opportunities are emerging for those ready to embrace and leverage AI. The challenge for workers is to stay ahead of the curve by learning new skills and adapting to a landscape where technology and efficiency are the new priorities. For Amazon and its peers, this is not just about cutting costs; it is about reinventing how business gets done in the age of artificial intelligence

Amazon (AMZN) CEO Andy Jassy said the company will reduce its workforce in the coming years, and Microsoft (MSFT) is reportedly planning thousands of layoffs, just as the two companies invest billions in artificial intelligence efforts.

NOTE: TECHi Two-Takes are the stories we have chosen from the web along with a little bit of our opinion in a paragraph. Please check the original story in the Source Button below.

Source