Amazon to cut about 14,000 corporate jobs in AI push

STORY: Amazon is cutting roughly 14,000 corporate jobs in a major shakeup driven by artificial intelligence.The move, announced Tuesday, is part of a broader plan to cut up to 30,000 jobs, which Reuters first reported on Monday.The layoffs offer an early look at the broad effects AI could have on workforces.Amazon CEO Andy Jassy had warned earlier this year that AI would lead to more job cuts, especially by automating routine tasks.Impacted workers received emails early Tuesday morning informing them their jobs were being eliminated. Amazon says most will get 90 days to find new roles internally.Affected departments include devices, advertising, Prime Video, HR, and Amazon Web Services. Meanwhile, Senator Bernie Sanders is calling on Amazon founder Jeff Bezos to address concerns over automation, citing reports that up to 500,000 warehouse jobs could eventually be replaced by robots.Further insight into Amazon's strategy will likely come on Thursday, when the tech giant reports third-quarter earnings.Shares of the company have risen about 3.5% this year, making it the worst performer among the "Magnificent 7" group of megacap tech stocks.

View Comments