Amazon targets as many as 30k corporate job cuts, sources say

Timing and Stated Rationale

  • Many see the timing—days before an earnings call and the holidays—as primarily about hitting quarterly numbers, not “pandemic overhiring.”
  • Commenters note Amazon has used “pandemic overhiring” to justify multiple rounds of layoffs over several years and question why investors still treat it as credible.
  • Some expect the layoffs will be framed as “AI-driven efficiency,” even though several argue that’s PR more than reality.

Scale and Human Impact

  • 30,000 jobs, roughly 10% of corporate staff, is described less as “cleanup” and more as a “decimation” or “massacre.”
  • People highlight non-abstract consequences: loss of health insurance, forced moves, children changing schools, and in extreme cases mental health crises and suicide.
  • Others note that the burden often falls on line workers and ICs while the leadership that created the bloat remains.

AWS, Retail, Finances, and AI

  • Debate over whether AWS is a truly separate company vs just a major subsidiary/segment under Amazon’s holding structure.
  • Disagreement on finances: some call AWS the cash cow that can easily fund $100B+ in capex; others assert AWS free cash flow is insufficient and subsidized by retail and corporate debt.
  • Several reject the idea that the layoffs are a response to a recent AWS outage; they see this as a standard pre-earnings cost cut.
  • A quoted analyst ties cuts to AI productivity gains; multiple commenters say there’s no clear evidence of that and see the AI angle as investor-friendly spin.

Bloat, Management, and Culture

  • Some welcome the cuts as a needed reset for a bloated org rife with middle-management turf wars, tenured coasters, and process theater (six-pagers, “leadership principles” rhetoric).
  • Others counter that profitable or strategically important teams are also being “decimated,” projects offshored, and maintenance work canceled, suggesting efficiency is not the real driver.
  • Cutting managers is reported to push more managerial and process work onto engineers, increasing paperwork rather than agility.

Geography, Visas, and Offshoring

  • Open question whether “corporate” mainly means expensive US-based staff or a global mix.
  • One data analysis (linked in-thread) claims the share of job postings in offshored countries has nearly tripled since 2020, suggesting a structural shift rather than one-off trimming.
  • Some argue the effective tightening of H‑1B will push more hiring into foreign offices; others note offshoring is already cheaper regardless of visa policy and hard to regulate.

Shareholders vs Workers and Broader Reflections

  • Critics see the move as transferring several more billions from workers to already-profitable shareholders, in a context of ~$59B net profit.
  • Defenders respond that a company’s job is to maximize profit and stock price, not stop at “enough.”
  • Others see layoffs and buybacks as signs of a mature company out of growth ideas, and personally avoid such stocks.
  • Broader comments lament an economy focused on financial engineering over innovation, with high living costs and consolidation making it harder to start and grow smaller, more resilient firms.