Amazon is slashing about 16,000 corporate jobs in the second round of mass layoffs for the ecommerce company in three months.
The tech giant has said it plans to use generative artificial intelligence to replace corporate workers. It has also been reducing a workforce that swelled during the pandemic.
Beth Galetti, a senior vice president at Amazon, said in a blog post Wednesday that the company has been “reducing layers, increasing ownership, and removing bureaucracy.”
The company did not say what business units would be impacted, or where the job cuts would occur.
The latest reductions follow a round of job cuts in October, when Amazon said it was laying off 14,000 workers. While some Amazon units completed those “organizational changes” in October, others did not finish until now, Galetti said.
She said U.S.-based staff would be given 90 days to look for a new role internally. Those who are unsuccessful or don’t want a new job will be offered severance pay, outplacement services and health insurance benefits, she said.
“While we’re making these changes, we’ll also continue hiring and investing in strategic areas and functions that are critical to our future,” Galetti said.
CEO Andy Jassy, who has aggressively cut costs since succeeding founder Jeff Bezos in 2021, said in June that he anticipated generative AI would reduce Amazon’s corporate workforce in the next few years.
The layoffs announced Wednesday are Amazon’s biggest since 2023, when the company cut 27,000 jobs.
Meanwhile, Amazon and other Big Tech and retail companies have cut thousands of jobs to bring spending back in line following the COVID-19 pandemic. Amazon’s workforce doubled as millions stayed home and boosted online spending.
The job cuts have not arrived with a company on shaky financial ground.
In its most recent quarter, Amazon’s profits jumped nearly 40% to about $21 billion and revenue soared to more than $180 billion.
Late last year after layoffs, Jassy said job cuts weren’t driven by company finances or AI.
“It’s culture,” he said in October. “And if you grow as fast as we did for several years, the size of businesses, the number of people, the number of locations, the types of businesses you’re in, you end up with a lot more people than what you had before, and you end up with a lot more layers.”
Hiring has stagnated in the U.S. and in December, the country added a meager 50,000 jobs, nearly unchanged from a downwardly revised figure of 56,000 in November.
Labor data points to a reluctance by businesses to add workers even as economic growth has picked up. Many companies hired aggressively after the pandemic and no longer need to fill more jobs. Others have held back due to widespread uncertainty caused by President Donald Trump’s shifting tariff policies, elevated inflation, and the spread of artificial intelligence, which could alter or even replace some jobs.
While economists have described the labor situation in the U.S as a “no hire-no fire” environment, some companies have said they are cutting back on jobs, even this week.
On Tuesday, UPS said it planned to cut up to 30,000 operational jobs through attrition and buyouts this year as the package delivery company reduces the number of shipments from what was its largest customer, Amazon.
That followed 34,000 job cuts in October at UPS and the closing of daily operations at 93 leased and owned buildings during the first nine months of last year.
Also on Tuesday, Pinterest said it plans to lay off under 15% of its workforce, as part of broader restructuring that arrives as the image-sharing platform pivots more of its money to artificial intelligence.
Shares of Amazon Inc., based in Seattle, rose slightly before the opening bell Wednesday.
Republican lawmakers are poised to grill former Justice Department special counsel Jack Smith on Thursday at a congressional hearing that’s expected to focus fresh attention on two criminal investigations that shadowed Donald Trump during his 2024 presidential campaign.
Smith testified behind closed doors last month but returns to the House Judiciary Committee for a public hearing likely to divide along starkly partisan lines between Republican lawmakers looking to undermine the former Justice Department official and Democrats hoping to elicit new and damaging testimony about Trump’s conduct.
Smith will tell lawmakers that he stands behind his decision as special counsel to bring charges against Trump in separate cases accusing the Republican of conspiring to overturn the 2020 presidential election after he lost to Democrat Joe Biden and hoarding classified documents at his Mar-a-Lago estate in Palm Beach, Florida.
“Our investigation developed proof beyond a reasonable doubt that President Trump engaged in criminal activity,” Smith will say, according to a copy of his opening statement obtained by The Associated Press. “If asked whether to prosecute a former president based on the same facts today, I would do so regardless of whether that president was a Republican or a Democrat.”
“No one should be above the law in our country, and the law required that he be held to account. So that is what I did,” Smith will say.
The hearing is unfolding against the backdrop of an ongoing Trump administration retribution campaign targeting the investigators who scrutinized the Republican president. The Justice Department has fired lawyers and other employees who worked with Smith, and an independent watchdog agency responsible for enforcing a law against partisan political activity by federal employees said last summer that it had opened an investigation into him.
“In my opinion, these people are the best of public servants, our country owes them a debt of gratitude, and we are all less safe because many of these experienced and dedicated law enforcement professionals have been fired,” Smith said of the terminated members of his team.
Smith was appointed in 2022 by Biden’s Justice Department to oversee investigations into Trump. Both investigations produced indictments against Trump, but the cases were abandoned by Smith and his team after Trump won back the White House because of longstanding Justice Department legal opinions that say sitting presidents cannot be indicted.
The hearing will be led by Rep. Jim Jordan of Ohio, the Republican chairman of the House Judiciary Committee, who told reporters on Wednesday that he regards Smith’s investigations as the “culmination of that whole effort to stop President Trump from getting to the White House.”
“Tomorrow he’ll be there in a public setting so the country can see that this was no different than all the other lawfare weaponization of government going after President Trump,” Jordan said, advancing a frequent talking point from Trump, who pleaded not guilty in both cases and denied wrongdoing.
At the private deposition last month, Smith vigorously rejected Republican suggestions that his investigation was motivated by politics or was meant to derail Trump’s presidential candidacy. He said the evidence placed Trump’s actions squarely at the heart of a criminal conspiracy to undo the election he lost to Biden as well as the Jan. 6, 2021, riot by a mob of his supporters at the U.S. Capitol.
“The evidence here made clear that President Trump was by a large measure the most culpable and most responsible person in this conspiracy,” Smith said. “These crimes were committed for his benefit. The attack that happened at the Capitol, part of this case, does not happen without him. The other co-conspirators were doing this for his benefit.”
Smith is also expected to face questions about his team’s analysis of phone records belonging to more than half a dozen Republican members of Congress who were in touch with the president on the afternoon of Jan. 6, 2021. The records contained data about the participants on the calls and how long they lasted but not their contents.
It is unlikely that Smith will share new information Thursday about his classified documents investigation. A report his team prepared on its findings remains sealed by order of a Trump-appointed judge in Florida, Aileen Cannon, and Trump’s lawyers this week asked the court to permanently block its release.
Australian leaders promised Monday to immediately overhaul already-tough gun control laws after a mass shooting targeted a Hanukkah celebration on Sydney’s Bondi Beach. At least 15 people died in the attack, which has fueled criticism that authorities are not doing enough to combat a surge in antisemitic crimes.
Among the new measures proposed would be a limit on the number of guns someone can own and a review of licenses held over time. Those and other actions would represent a significant update to the landmark national firearms agreement, which virtually banned rapid-fire rifles after a gunman killed 35 people in Tasmania in 1996, galvanizing the country into action.
“The government is prepared to take whatever action is necessary. Included in that is the need for tougher gun laws,” Prime Minister Anthony Albanese said.
The violence erupted at the end of a summer day when thousands had flocked to Bondi Beach, an icon of Australia’s cultural life. They included hundreds gathered for the Chanukah by the Sea event celebrating the start of the Jewish festival with food, face painting and a petting zoo. Albanese called the massacre an act of antisemitic terrorism that struck at the heart of the nation.
Police shot the two suspected gunmen, a father and son. The 50-year-old father died at the scene. His 24-year-old son remained in a coma in hospital on Monday, Albanese said. Police won’t reveal their names.
At least 38 other people are being treated in hospitals.
Among those is a man who was captured on video appearing to tackle and disarm one apparent assailant, before pointing the man’s weapon at him, then setting the gun on the ground.
The man was identified by Home Affairs Minister Tony Burke as Ahmed al Ahmed. The 42-year-old fruit shop owner and father of two was shot in the shoulder.
Al Ahmed, an Australian citizen who migrated from Syria in 2006, underwent surgery on Monday, his family said.
Al Ahmed’s parents, who moved to Australia in recent months, said their son had a background in the Syrian security forces.
“My son has always been brave. He helps people. He’s like that,” his mother, Malakeh Hasan al Ahmed, told Australian Broadcasting Corp. through an interpreter.
Authorities had investigated one of the suspected gunman
Albanese confirmed that Australia’s main domestic spy agency, the Australian Security Intelligence Organization, had investigated the younger suspected gunman for six months in 2019.
The ABC reported that the agency had examined the son’s ties to a Sydney-based Islamic State group cell. Albanese did not describe the associates, but said the agency was interested in them rather than the son.
“He was examined on the basis of being associated with others and the assessment was made that there was no indication of any ongoing threat or threat of him engaging in violence,” Albanese said.
The horror at Australia’s most popular beach was the deadliest shooting in almost three decades since the 1996 Port Arthur massacre. The removal of rapid-fire rifles has markedly reduced the death tolls from such acts of violence since then.
Albanese’s proposals to limit the number of guns someone can own and review licenses were announced after the authorities revealed that the older suspected gunman had held a gun license for a decade and amassed his six guns legally.
Leaders of the federal and state governments on Monday also proposed restricting gun ownership to Australian citizens, a measure that would have excluded the older suspect, who came to Australia in 1998 on a student visa and became a permanent resident after marrying a local woman. Officials wouldn’t confirm what country he had migrated from.
His son, who doesn’t have a gun license, is an Australian-born citizen.
The government leaders also proposed the “additional use of criminal intelligence” in deciding who was eligible for a gun license. That could mean the son’s suspicious associates could disqualify the father from owning a gun.
Chris Minns, premier of New South Wales where Sydney is the state capital, said his state’s gun laws would change, but he could not yet detail how.
“If you’re not a farmer, you’re not involved in agriculture, why do you need these massive weapons that put the public in danger and make life dangerous and difficult for New South Wales Police?” Minns asked.
The Supreme Court is meeting in private Friday with a key issue on its agenda — President Donald Trump ’s birthright citizenship order declaring that children born to parents who are in the United States illegally or temporarily are not American citizens.
The justices could say as soon as Monday whether they will hear Trump’s appeal of lower court rulings that have uniformly struck down the citizenship restrictions. They have not taken effect anywhere in the United States.
If the court steps in now, the case would be argued in the spring, with a definitive ruling expected by early summer.
The birthright citizenship order, which Trump signed on the first day of his second term in the White House, is part of his administration’s broad immigration crackdown. Other actions include immigration enforcement surges in several cities and the first peacetime invocation of the 18th century Alien Enemies Act.
The administration is facing multiple court challenges, and the high court has sent mixed signals in emergency orders it has issued. The justices effectively stopped the use of the Alien Enemies Act to rapidly deport alleged Venezuelan gang members without court hearings, while they allowed the resumption of sweeping immigration stops in the Los Angeles area after a lower court blocked the practice of stopping people solely based on their race, language, job or location.
The justices also are weighing the administration’s emergency appeal to be allowed to deploy National Guard troops in the Chicago area for immigration enforcement actions. A lower court has indefinitely prevented the deployment.
Birthright citizenship is the first Trump immigration-related policy to reach the court for a final ruling. Trump’s order would upend more than 125 years of understanding that the Constitution’s 14th Amendment confers citizenship on everyone born on American soil, with narrow exceptions for the children of foreign diplomats and those born to a foreign occupying force.
In a series of decisions, lower courts have struck down the executive order as unconstitutional, or likely so, even after a Supreme Court ruling in late June that limited judges’ use of nationwide injunctions.
While the Supreme Court curbed the use of nationwide injunctions, it did not rule out other court orders that could have nationwide effects, including in class-action lawsuits and those brought by states. The justices did not decide at that time whether the underlying citizenship order is constitutional.
But every lower court that has looked at the issue has concluded that Trump’s order violates or most likely violates the 14th Amendment, which was intended to ensure that Black people, including former slaves, had citizenship.
The administration is appealing two cases.
The U.S. Court of Appeals for the 9th Circuit in San Francisco ruled in July that a group of states that sued over the order needed a nationwide injunction to prevent the problems that would be caused by birthright citizenship being in effect in some states and not others.
President Donald Trump and Australian Prime Minister Anthony Albanese signed a critical-minerals deal at the White House on Monday as the U.S. eyes the continent’s rich rare-earth resources at a time when China is imposing tougher rules on exporting its own critical minerals abroad.
The two leaders described the agreement as an $8.5 billion deal between the allies. Trump said it had been negotiated over several months.
“In about a year from now we’ll have so much critical mineral and rare earth that you won’t know what to do with them,” said Trump, a Republican, boasting about the deal. “They’ll be worth $2.”
Albanese added that the agreement takes the U.S.-Australia relationship “to the next level.”
Earlier this month, Beijing announced that it will require foreign companies to get approval from the Chinese government to export magnets containing even trace amounts of rare-earth materials that originated from China or were produced with Chinese technology. The Trump administration says this gives China broad power over the global economy by controlling the tech supply chain.
“Australia is really, really going to be helpful in the effort to take the global economy and make it less risky, less exposed to the kind of rare earth extortion that we’re seeing from the Chinese,” Kevin Hassett, the director of the White House’s National Economic Council, told reporters Monday morning ahead of Trump’s meeting with Albanese.
Hassett noted that Australia has one of the best mining economies in the world, while praising its refiners and its abundance of rare earth resources. Among the Australian officials accompanying Albanese are ministers overseeing resources and industry and science, and Australia has dozens of critical minerals sought by the U.S. because they are needed in everything from fighter jets and electric vehicles to laptops and phones.
The agreement could have an immediate impact on rare earth supplies in the United States if American companies can secure some of what Australian mines are already producing, although it will take years — if not decades — to develop enough of a supply of rare earths outside of China to reduce its dominance.
Pini Althaus, who founded USA Rare Earth back in 2019 and is now working to develop new mines in Kazakhstan and Uzbekistan as CEO of Cove Capital, said it will be crucial that the contracts to buy materials from Australian mines include price floors, similar to what the U.S. government promised MP Materials this summer, to protect against China manipulating prices.
For decades, China has used the tactic of dumping excess critical minerals onto the market to drive prices down to force mining companies in the rest of the world out of business to eliminate any competition.
“I think taking away that arrow in the quiver of China to manipulate pricing is an absolute crucial first step in Australia and the West being able to develop critical minerals projects to meet our supply chain demands,” said Althaus, who has spent nearly a quarter-century in the mining business.
The agreement underscores how the U.S. is using its global allies to counter China, especially as it weaponizes its traditional dominance in rare earth materials. Top Trump officials have used the tactics from Beijing as a rallying cry for the U.S. and its allies to work together to try to minimize China’s influence.