Amazon Confirms 16,000 Global Job Cuts in Major Corporate Restructuring
Amazon has confirmed it is cutting approximately 16,000 corporate jobs globally, the latest round of layoffs since October 2025. The job cuts are part of a broader plan to streamline operations and invest in strategic areas like AI.
Financial Overview
Amazon stock (AMZN) closed at $238.42 on January 27, 2026, and as of the morning of January 28, 2026, was trading around $246.02, representing a nearly 3.19% change from the previous close. The company's market capitalization is approximately $2.62 trillion.
Key Insights
Restructuring: The 16,000 job cuts follow an earlier round of 14,000 cuts in October 2025, bringing the total reductions to around 30,000 corporate positions as part of a major restructuring effort.
Strategic Shift: The company aims to reduce bureaucracy, cut costs, and reallocate resources towards key growth areas, particularly artificial intelligence (AI) and AWS (Amazon Web Services).
Market Reaction: Despite the significant number of layoffs, Amazon's stock initially slipped slightly on the news but has generally remained strong, with many analysts maintaining a "Strong Buy" rating and raising price targets due to expected margin improvements and AI potential.
Future Outlook: Amazon will report its Q4 earnings on February 5, 2026, and analysts expect strong performance in revenue and earnings per share. The company has also announced the closure of its Amazon Fresh and Amazon Go grocery stores to focus on its Whole Foods business.