In the past year or so, layoffs have become rampant across the tech industry, with major tech giants like Microsoft and Amazon already doubling down on AI. Now, it seems that 2026 will also be the year of massive layoffs. After slipping the news about global job cuts late Tuesday via an accidental email, Amazon has now officially confirmed that it will lay off 16,000 employees across the company. For those unaware, that’s the second major round of layoffs announced by Amazon in three months.
Amazon announces major layoff, affecting 16,000 employees across the globe
In a copy of an internal memo shared with employees, Beth Galetti, Amazon’s head of People Experience and Technology, noted that the latest round of layoffs stems from organizational changes that have been in place since October 2025. Galetti further notes that Amazon has been working to reduce layers, push more ownership across teams, and cut internal bureaucracy.
US-based employees impacted by the layoffs will get 90 days to apply for other roles within the company. However, those who don’t choose new roles will receive severance pay, health insurance coverage, and access to outplacement services. Employees outside of the U.S. will get support depending on their local labor laws.
Addressing employee concerns around layoffs, Amazon says that “broad reductions every few months” are not part of its plan. That said, it didn’t deny whether there will be another round of layoffs down the line. “But just as we always have, every team will continue to evaluate the ownership, speed, and capacity to invent for customers, and make adjustments as appropriate,” said Beth Galetti.
The company will continue to hire for important roles
While it is obvious for anyone to wonder that if a company is announcing big layoffs, is there any chance it will continue hiring? The tech giant says it definitely has plans to continue hiring in areas that it considers important to its future. Amazon hasn’t admitted that the latest round of layoffs has anything to do with funding its AI-first strategy. However, many tech companies are reinvesting in AI-focused roles and products after laying off their employees. So, it’s possible that Amazon is trying to do the same. Pinterest, for example, is also undergoing a major restructuring. The company has also announced plans to cut nearly 15 percent of its global workforce.
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