Andy Jassy says generative AI will replace some roles over time
Amazon CEO Andy Jassy has told employees that artificial intelligence will ultimately lead to a reduction in the company’s corporate headcount. In a memo shared Tuesday, Jassy said AI will bring efficiency gains that reduce the need for certain jobs while creating new roles in other areas.
“We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs,” Jassy wrote. He emphasized that Amazon is deploying generative AI “in virtually every corner of the company.”
Amazon currently employs more than 1.5 million people worldwide, making it the second-largest employer in the U.S. This year alone, the company plans to invest $100 billion into expanding AI capabilities and the data centers that support them — up from $83 billion last year.
AI reshapes work and business innovation
Jassy believes AI agents — autonomous tools powered by large language models — will fundamentally reshape how people work and live. “Many of these agents have yet to be built,” he said, “but they’re coming, and fast.”
Internally, Amazon is already running or developing over a thousand AI-driven services and applications. Jassy claims these tools will enhance the speed and scale of innovation across the company’s vast operations.
Corporate America braces for AI-driven cuts
Jassy’s remarks come amid a broader wave of AI-induced job concerns across industries. A recent Bloomberg Intelligence report estimated AI could eliminate up to 200,000 banking jobs. Other companies are already taking action:
- Crowdstrike laid off 5% of its workforce, citing AI-driven efficiency gains
- Duolingo is phasing out contractors for tasks AI can now handle
- Shopify CEO Tobi Lutke said managers must justify new hires by proving AI can’t do the job
- BT Group plans to cut 40,000 jobs, with AI expected to play a larger role than initially forecast
AI investment surges, but workforce fears linger
Amazon’s commitment to AI comes as tech leaders race to build tools that can automate tasks, generate content, write code, and analyze data at scale. While Jassy is optimistic about the long-term innovation potential, the near-term message is clear: automation will displace some corporate jobs.
Executives across industries now see AI as a tool for cutting costs and boosting productivity — but for workers in white-collar roles, it’s also a warning that the future of employment is changing rapidly.
