Amazon (AMZN) plans to begin laying off up to 30,000 employees starting tomorrow, people familiar with the matter told Reuters on Monday. The company is trying to cut costs and offset overhiring during peak demand due to the coronavirus pandemic. This will be the company’s largest workforce reduction since the company cut 27,000 jobs at the end of 2022.
Although this number is a small percentage of Amazon’s total workforce of 1.55 million, it is nearly 10% of the company’s approximately 350,000 employees. Amazon has not yet commented or confirmed the Reuters report. AMZN stock rose slightly 1.2% on Monday following the announcement, but fell after the market closed.
The layoffs are a continuation of the job cuts Amazon has implemented over the past two years. This week’s job cuts are expected to impact a variety of departments within Amazon, including human resources, devices, services and operations, according to Reuters.
Amazon to cut staff: What will happen to the stock price?
Amazon CEO Andy Jassy is embarking on an effort to cut the company’s excessive bureaucracy. Once 2026 arrives, further job cuts are likely, especially as the company renews its focus on AI and removes the risk of human error from human roles. AMZN today announced a new wave of $10 billion in funding for AWS.
Amazon is scheduled to release its quarterly earnings report later this week, on October 30th. Amazon is scheduled to report its third-quarter results on October 30, 2025, with analysts predicting revenue of about $177.8 billion to $177.99 billion, an increase of 12% from a year ago. Earnings per share (EPS) are expected to be in the range of $1.57 to $1.60.
According to the latest AMZN update shared by The Motley Fool, Amazon has been steadily gaining significant momentum in the market, with past earnings reports reaching $167.7 billion in net sales. At the same time, Amazon’s cloud computing service AWS also reported a significant increase in business results, with sales reaching a ceiling of $30 billion. Amid these developments, analysts maintain their “buy” rating on the stock and have raised their price target to $269.
