“If Amanda Goodall’s claims hold true, then this is not just a layoff. It is a calculated silence. Not a strategy but a response driven by fear. Fear of transparency. Fear of accountability. Fear of admitting the human cost.”
Note: As of now, Amazon has not publicly confirmed these layoff figures. The following information is based on insights shared by Amanda Goodall and other third-party sources.
In a shocking turn for one of the world’s largest tech giants, U.S.-based tech career influencer Amanda Goodall claimed that Amazon could lay off 10% of its workforce, with 25% of its senior-level (L7) executives also at risk.
While Amazon has not officially confirmed these figures, Amanda Goodall suggested that AWS may be among the most impacted divisions in the potential layoffs
Leadership in the Firing Line: Why L7 Roles Are Being Targeted
Unlike earlier layoffs that focused on lower-tier or redundant roles, this round appears aimed squarely at principal-level (L7) employees. This tier includes senior engineers, architects, and team leaders who shape Amazon’s technological roadmap.
The rationale seems rooted in efficiency. These roles come with large compensation packages and strategic influence. With rising pressure to flatten hierarchy and reduce operational costs, Amazon may now view its senior staff as a zone of untapped cost-saving potential.
Amanda Goodall’s post suggested that while around 10% of the overall workforce could be affected, senior roles may face a higher attrition rate, with up to one in four reportedly at risk.
AI Driven Cuts: How Automation Is Replacing Talent
Artificial intelligence is at the core of this transformation. Amazon CEO Andy Jassy has repeatedly spoken about the company’s push toward integrating generative AI tools across various functions, from marketing content to customer support.
Some insiders say AI is increasingly being positioned as a tool that could replace certain human tasks. Many of the L7 roles under threat are ones where decision-making, strategy, and long-term planning used to require human insight. Now, with AI stepping in to process data faster and execute routine workflows, the need for mid-to-senior oversight in several areas is reportedly being minimized.
Anecdotal reports from former AWS staff describe the process as ‘cold and impersonal,’ noting sudden access revocations; however, these claims have not been independently verified .
Amazon’s Broader Layoff Trail: Not the First, Possibly Not the Last
Over the past two years, more than 27,000 employees have been laid off across Amazon’s divisions, including teams in devices, books, HR, and podcasting at Wondery. These were not isolated moves but part of Amazon’s evolving internal strategy.
This new wave feels distinctly different. It is less a reaction to over-hiring during the pandemic and more a calculated, permanent restructuring toward an AI-first and leaner corporate model.
Insiders suggest that the current layoff strategy is also more discreet. There are fewer public announcements, limited memos, and minimal media visibility, possibly to avoid negative market reactions or reputational fallout.
A Company Rebooting from the Top Down
Amazon’s latest round of layoffs may seem like just another cycle of tech cuts, but the focus on L7 leaders and the subtlety of its execution suggest a larger transformation is underway.
By eliminating experienced roles and investing in AI tools, Amazon appears to be choosing automation over intuition. While this could improve efficiency in the short term, questions remain about the long-term impact on innovation, leadership depth, and employee morale.
If these trends persist, Amazon may indeed be prioritizing scalability and speed—but whether that undermines leadership depth and innovation remains to be seen.
Key Takeaways
- Up to 10% of Amazon’s workforce may be at risk, particularly in AWS and senior-level roles, according to third-party reports.
- Up to 25% of principal-level (L7) executives are reportedly at risk.
- AI and automation are central to this wave of restructuring.
- Layoffs are reportedly concentrated in AWS, Amazon’s cloud division.
- Company is focusing on flattening its leadership to improve speed and reduce costs.
- Some former employees have described the process as cold and lacking in communication, though these accounts remain anecdotal.
FAQs
Q1: Has Amazon confirmed these layoffs?
No. The company has not officially confirmed the 10% or 25% figures. These details are based on credible influencer insights and internal leaks.
Q2: Why are L7 roles specifically being cut?
Principal-level roles are costly and strategic. Amazon appears to be cutting back on certain areas to streamline management and lower payroll costs.
Q3: What is Amazon’s approach to AI and employment?
CEO Andy Jassy has stated that AI will enhance efficiency. This suggests a decrease in positions that have the potential to be automated.
Q4: Is this a continuation of previous Amazon layoffs?
Yes. Amazon has cut tens of thousands of jobs across different departments since 2022 as part of a larger restructuring plan.
Q5: How are affected employees reacting?
Some former staff members described the layoff experience as abrupt and impersonal, with notices coming via system lockouts or brief notifications.
