Amazon is bracing for significant workforce changes as artificial intelligence becomes more deeply integrated into its operations. In a recent internal memo, CEO Andy Jassy acknowledged that the increasing adoption of generative AI tools and virtual agents is expected to eliminate some current roles at the tech giant.

Jassy noted that while AI is likely to spark the creation of entirely new jobs, it will also render certain existing positions unnecessary. "The way we work is going to evolve. With the rollout of more generative AI and agent-based technologies, some tasks will require fewer people than they do today, while others will require new skills and different roles," he said.

Currently employing about 1.5 million people globally, Amazon has not clarified which teams or divisions might see reductions. Nor has it disclosed how many employees could be affected by the shift toward automation and AI-driven systems.

The announcement adds to growing unease among Amazon’s corporate employees, many of whom are already concerned due to recent hiring slowdowns in the retail segment. Earlier this year, the company paused recruitment for numerous positions, signaling caution amid broader industry changes.

Amazon is also ramping up its AI investment strategy, with plans to allocate nearly $100 billion toward developing AI technologies and expanding data center infrastructure. This investment reflects a long-term bet on AI's transformative potential.

Jassy encouraged employees to embrace the change and upskill in AI-related areas, describing the technology as a turning point on par with the arrival of the internet. He added that employees who adapt quickly to the evolving landscape will be best positioned to grow within the company.

Amazon's AI-driven restructuring echoes similar developments across industries. The CEO of British telecom firm BT has also hinted at possible layoffs linked to AI efficiencies, and Anthropic’s CEO recently estimated that up to 50% of entry-level office jobs could vanish due to automation.

So far, Amazon has refrained from offering further specifics beyond Jassy’s memo, leaving many questions about the future of its workforce unanswered.