The Bigger Picture Of Amazon’s AI Job Layoffs

Well, we knew it was coming, but we didn't expect it to happen quite this soon! AI seems as inevitable as a Swiftie overpaying for concert tickets, but we thought there was still time before it really ramped up. Apparently not! Let's take a look at the AI layoff trend, even if it ain't pretty.

Here are Five Fast Facts on the abrupt arrival of mass AI layoffs:

  1. 🤦 The Plan - Amazon is actively planning to axe at least 14k white collar workers (and up to 30k total) by early 2026 because AI can replace their jobs. That’s gonna be one REALLY awkward Zoom call.
  1. 👀 The Joneses - They’re trying to keep up with Microsoft and Google, both of which have cloud businesses that are growing faster. So apparently they took off the training wheels and headed straight down the mountain at full speed (ready or not).
  1. 🪑 Ratio This - Another reason is to flatten the organization - Amazon wants one manager for every 15 workers instead of the old 1:7 ratio, turning middle management into a game of musical chairs where the chairs are on fire.
  1. 🤷 Last Ditch Effort - This is after other attempts to slim down, like the forced return-to-work policy and inefficiency studies to improve processes. Those didn't shed enough workers, so it's now time for an overall company diet.
  1. 🔍 A New Trend - Probably the most disturbing part of this is that it's becoming a trend - more than 200 big tech companies have laid off almost 100k roles this year alone! 

🔥Bottom line: Again, this is no surprise. We've been talking about it here for a long time. The biggest problem is how fast it arrived. When huge changes like this arrive gradually, people have time to adjust - workers can learn new skills and find other jobs, schools can tweak their curricula, and regulations can be thoroughly debated and adjusted appropriately. Rushing it in like this is going to dump a lot of workers into an already overflowing white collar job market, and that's not going to go well. Brace yourself, we could be in for a bit of a rough patch!

Do you know anyone caught up in the mass AI layoff trend?

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