Amazon Layoffs 2026: Second Round Planned

Amazon layoffs will resume with a planned second round of corporate job cuts targeting management layers, prompting investors to reassess operating costs.

January 23, 2026·2 min read
View all news articles
Flat filled vector of a fulfillment bay with thinning management layers symbolizing Amazon layoffs and cost trimming.

KEY TAKEAWAYS

  • Second round would bring combined corporate reductions to about 30,000.
  • Reported targets include AWS, Retail, Prime Video and People Experience and Technology.
  • Framed as trimming management layers, the move would reshape near-term operating-cost assumptions.

HIGH POTENTIAL TRADES SENT DIRECTLY TO YOUR INBOX

Add your email to receive our free daily newsletter. No spam, unsubscribe anytime.

Or subscribe with

Amazon (AMZN) plans a second round of corporate layoffs targeting multiple units as it continues to trim management layers, extending a multiyear pattern of workforce reductions.

Second Round Targets Corporate Roles

Reports on Jan. 22, 2026, said the second round of layoffs could begin as early as Jan. 27 and would eliminate thousands of corporate jobs. Combined with the roughly 14,000 positions cut in October 2025, total corporate reductions would reach about 30,000.

Corporate Headcount and Rationale

Amazon’s corporate workforce totals about 350,000 of its roughly 1.57–1.58 million global employees. The planned cuts would reduce about 8.6% of that headcount, reflecting a significant rebalancing of management and administrative roles.

Affected units likely include Amazon Web Services, Retail, Prime Video, and People Experience and Technology, the company’s human-resources division. The cuts span customer-facing and back-office functions, with the scope still evolving as unit-level decisions proceed.

At the 2025 third-quarter earnings call, Chief Executive Andy Jassy described the earlier layoffs as efforts to reduce excess management layers, emphasizing they were not primarily driven by financial pressures or artificial intelligence. In October 2025, affected employees remained on payroll for 90 days to seek internal openings, and managers could defer some reductions into early 2026. These steps follow prior rounds that cut about 27,000 jobs in late 2022 and early 2023.

Framed as structural management trimming rather than short-term cost cutting, the planned layoffs signal Amazon’s near-term corporate spending priorities. Given the company’s scale, how management executes the plan could influence analyst assumptions about AMZN’s operating costs and overhead for months.

HIGH POTENTIAL TRADES SENT DIRECTLY TO YOUR INBOX

Add your email to receive our free daily newsletter. No spam, unsubscribe anytime.

Or subscribe with

Read other top news stories

Nvidia Earnings Preview

Nvidia Earnings Preview

Nvidia earnings on Aug. 26 test AI infrastructure demand as management's $91.0 billion Q2 guidance meets divergent Street estimates, informing allocations.

U.S.-Canada Tariffs Stall Talks as Retaliation Looms

U.S.-Canada Tariffs Stall Talks as Retaliation Looms

U.S.-Canada tariffs raised political risk after missed deadlines and Ottawa's suspension of talks, heightening cost and supply risk for autos and steel.

Nevada Robotaxi Permits Allow Tesla, Waymo, Uber

Nevada Robotaxi Permits Allow Tesla, Waymo, Uber

Nevada robotaxi permits let Tesla, Waymo and Uber offer paid driverless rides in Clark County, reshaping autonomous fleet rollout and investor outlook.

Tesla China Recall Deepens Regulatory Scrutiny

Tesla China Recall Deepens Regulatory Scrutiny

Tesla China recall triggers software fixes and labels after SAMR action on Aug. 21, 2026, raising safety and regulatory risk for traders.

Broadcom Stock Favored After Google-Marvell Warrant

Broadcom Stock Favored After Google-Marvell Warrant

Broadcom stock draws interest as Marvell's warrant ties vesting to $500 million revenue tranches and BMO's Outperform underscores its AI advantage.

Broadcom Debt Financing Negotiations Expand

Broadcom Debt Financing Negotiations Expand

Broadcom debt financing talks seek more than $60 billion to fund AI-chip supplies for Anthropic and will test lender appetite and private-credit demand.