Amazon to Hire 250,000 Seasonal Workers Despite Laying Off 30,000 Corporate Staff

Amazon has announced a significant shift in its workforce strategy. Despite initially confirming the layoff of around 14,000 employees — part of a broader plan to cut 30,000 corporate jobs — the retail giant is simultaneously ramping up hiring for the upcoming festive season.

In anticipation of the Christmas shopping rush, Amazon plans to employ 250,000 seasonal workers, offering pay rates that could reach up to $30 per hour, including benefits. This move underscores the company's focus on automation and efficiency, even as it reduces its full-time corporate workforce.

A Message from Leadership

On 28 October 2025, Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, addressed employees company-wide communication. She emphasised that these organisational changes are aimed at creating a leaner workforce and accelerating the adoption of artificial intelligence (AI).

Galetti stated, 'What we need to remember is that the world is changing quickly. This generation of AI is the most transformative technology we've seen since the Internet, and it's enabling companies to innovate much faster than ever before.'

Market Reactions and Company Outlook

Amazon's shares have been among the worst performers within the so-called 'Magnificent Seven' tech giants in 2025. Nevertheless, the market responded positively to the news, with Amazon's stock rising by around 1% on Tuesday — just ahead of its third-quarter earnings report scheduled for the 30th of October.

The Future of Work at Amazon: AI Takes Over

Amazon CEO Andy Jassy reaffirmed the company's shift towards AI-driven operations. In a letter to employees in June 2025, he highlighted that generative AI would increasingly take over tasks traditionally performed by humans.

Jassy wrote, 'Technologies like Generative AI are rare; they come about once-in-a-lifetime, and completely change what's possible for customers and businesses. So, we are investing quite expansively, and the progress we are making is evident.'

The current wave of layoffs marks the beginning of a broader strategy. Jassy expects that streamlining operations and deploying AI extensively will generate efficiency gains across the entire business. However, he also confirmed that selective hiring will continue next year, mainly in areas related to AI platforms, cloud infrastructure, and logistics technology.

Accelerating AI and Cloud Investment

Amazon's commitment to AI and cloud expansion is set to intensify. Amazon Web Services (AWS) CEO Matt Garman recently met with South Korean President Lee Jae Myung during the Asia-Pacific Economic Cooperation (APEC) summit. South Korea aims to establish itself as an AI hub in Asia, and AWS plans to invest at least $5 billion (£4.1 billion) by 2031 to develop new AI data centres in the country.

Additionally, Amazon has plans to invest over $40 billion across 14 APEC nations from 2025 to 2028 in cloud and AI infrastructure — with the US expected to benefit significantly, contributing an estimated $45 billion to the country's GDP during this period.

Sources suggest Amazon is also looking to boost its investment in Anthropic, a prominent competitor to OpenAI. The retail giant has already invested $8 billion and might allocate billions more as part of its broader AI strategy.

In the UK, Amazon plans to invest £41 billion ($54.4 billion) over the next three years. Part of this investment will go towards upgrading existing facilities and constructing four new fulfilment centres to support increased demand and automation.

Automation in Overdrive

Amazon's push into automation illustrates a broader industry trend. Major tech companies are prioritising efficiency and AI-driven solutions, especially in logistics and customer service.

While artificial intelligence is expected to replace around 30,000 corporate roles, it is ironic that Amazon still needs 250,000 human workers during peak shopping periods like Christmas. Times have certainly changed — from mass layoffs to massive seasonal hiring, all within a landscape increasingly shaped by AI and automation.