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Amazon set for biggest layoffs in company history: Will Indian offices be impacted?

As tech companies double down on efficiency and AI investments, Amazon is preparing its largest-ever round of layoffs, raising fresh concerns for its India-based workforce.

Amazon offices in India may be impacted as the company prepares its largest round of corporate layoffs, expected to begin this week. (Image Source: Reuters)Amazon offices in India may be impacted as the company prepares its largest round of corporate layoffs, expected to begin this week. (Image Source: Reuters)

E-commerce giant Amazon is gearing up to sack thousands of its staff this week. The tech company is expected to lay off about 16,000 from its workforce starting Tuesday, January 27. The fresh round of job cuts is an extension of the company’s plan to eliminate about 30,000 jobs in total by mid-2026. The latest development seems to ring worry for Amazon teams based in India, as its business units such as Amazon Web Services (AWS) and Amazon Prime are expected to be impacted. 

Staffers in People Experience and Technology HR units are also expected to be affected by the layoffs. Regardless, the extent of the impact is unclear. The company attributed the first round of layoffs in October 2025 to the rise of artificial intelligence technologies. CEO Andy Jassy had described it later: the layoffs were not driven by finance or AI, but by culture, indicating that the company had too much bureaucracy. 

Initially, Indian offices were not impacted. However, multiple reports now suggest that Indian teams could be affected in the second phase. Amazon’s corporate workforce is largely concentrated in Bengaluru, Hyderabad, and Chennai. This latest round of layoffs is the biggest in the company’s history. Amazon had previously laid off around 27,000 employees in 2022 and 2023. The company currently employs about 1.6 million people worldwide, with the recent cuts focused solely on its corporate workforce of roughly 350,000.

Last year, 269 companies laid off 123,941 employees in the tech industry worldwide, according to data from Layoffs.fyi. Even though the staggering numbers were a continuation from 2024, the scale and focus have changed. Industry leaders such as Intel, Cisco, Microsoft, Google, and Amazon dominated headlines with large-scale reductions. While there is no one reason for the layoffs, several interconnected factors emerged. Companies began pushing capital and headcount toward AI. Many roles were reportedly being eliminated to fund the high cost of GPU clusters and AI talent. Another key reason was operational efficiency; many companies that overhired during the 2020-22 period began tightening budget to maintain their profit margins amid high interest rates and cautious consumer spending.

While the ongoing tech layoff wave does not offer a clear way out for the impacted employees, the message for staff is clear – generic skills and passive job searching may not help in 2026. Even though the bar may seem low given the layoff headlines, companies are highly selective and are seeking candidates who showcase concrete problem-solving abilities through portfolios, projects, and proven execution. To stay relevant in these uncertain times, building real skills and going beyond the bare minimum in job applications is vital. While headlines focus on layoffs, thousands of positions remain unfilled, waiting for qualified candidates.

 

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