Amazon CEO Andy Jassy has warned staff that the company’s increasing use of generative AI technology could lead to job losses over the next few years. In a memo to employees, Jassy stated that while AI would create new job opportunities, it would also reduce the need for certain roles. Amazon is accelerating its use of generative AI both internally and in its products, with over a thousand AI programs currently in development or already completed.
Jassy emphasized that employees who learn to work with AI will be better positioned for high-impact roles and helping the company reinvent itself. He encouraged staff to acquire new skills, attend workshops, and experiment with AI tools. Amazon is providing resources like AWS Skill Builder, which offers free access to various courses for employees.
The company’s return-to-office policy may also contribute to headcount reduction through voluntary attrition, as some employees may choose to leave rather than comply with the new office requirements. Amazon has previously laid off at least 27,000 staff members since 2021, and further cuts are anticipated as the company continues its cost-cutting measures.
Industry experts have varying predictions about the impact of AI on white-collar jobs, ranging from optimistic to dire. Anthropic CEO Dario Amodei has warned of significant job losses, while some academics remain hopeful about the technology’s potential.
Amazon’s adoption of generative AI is part of a broader trend in the tech industry, with many companies investing heavily in AI development. The company is also expanding its AI infrastructure, having recently invested $11 billion in AI data centers in Georgia.