From Amazon to Microsoft: Over 80,000 Tech layoffs Amid AI-Led Restructuring Wave

The impact of AI robot like transformation is that the world’s leading tech companies which comprise Amazon, Microsoft, Google, Meta, and TCS, have together released more than 80,000 workers this year. The transformation involves an entire workforce, moving them to different business sectors and changing their priorities.

Amazon Announces 14,000 Job Cuts in Major Restructure

Amazon, the biggest online retailer and supplier of cloud services revealed on October 28 that it would let go of 14,000 employees in the corporate sector. The company indicated that the job cuts would help make the organization more efficient and allow it to concentrate on the AI sector which is its growth area.

The reason why the technology giant is embarking on such a costly venture is to make the company more aligned with the “biggest bets” and the “future needs of the consumer” sector through the pruning of its operations.

Galetti pointed out that AI is such a powerful force that it has already changed the Internet and further claims that it fast-tracks the whole process of “innovate” and “ever before” for the firms.

Earlier reports suggested that through the layoffs Amazon might eventually affect the corporate positions up to 30,000 people worldwide — this would be the largest reduction of the workforce in the company since 2022 when the number of laid-off workers was 27,000.

AI Push Drives Job Cuts Across Big Tech

Several companies in the technology sector have been laying off their staff as a result of AI automation influencing their processes and the creation of new job functions.

Data from the sector states that more than 81,000 employees have suffered directly as a result of AI-related restructuring in 2025 alone.

Meta

Meta officially announced on October 23, the layoffs of 600 employees from its Superintelligence Labs (MSL) division. The firm is shifting its attention to the main AI projects while, at the same time, inviting the affected workers to apply for jobs in the other areas of the firm.

Google

Google, owned by Alphabet, made in total 300 layoffs in its AI projects — 200 were contractors in September and now lays off 100 design employees in October. The roles were focused on Gemini and AI Overviews, two of the AI projects being done at Google.

Microsoft

According to reports, Microsoft has reduced its workforce by around 4,000 in software engineering and cut an additional 6,000 jobs across different departments. Over 30% of the affected workforce is in Washington State. The company claims that the action will result in team downsizing and alignment of the teams with its generative AI goals.

TCS

India’s TCS has cut its workforce by 6,000 globally and also plans to downsize by another 6,000 in FY26 as it pushes for AI-driven efficiency and automation.

Salesforce

Marc Benioff, Salesforce CEO has announced that the company has shed 4,000 customer service positions due to AI tools taking over repetitive service functions. The workforce of customer service has been reduced from 9,000 to 5,000 employees.

Accenture

Consulting giant Accenture has announced the job cuts of 11,000 worldwide and cited restructuring to accelerate its AI transformation.

Wipro, IBM, and Cognizant

Reports suggest that Wipro laid off 24,500 jobs this year as part of a cost-cutting exercise.

IBM closed nearly 1,000 positions while focusing on hybrid cloud and AI.

Cognizant announced a reduction of 3,500 workers, streamlining its corporate structure.

Intel

Chip maker Intel decided to eliminate 529 jobs in July as a part of the layoffs and may go up to 20% of its workforce as cost-cutting plan.

AI: The Catalyst for the Next Tech Transformation

The layoffs signal a paradigm shift in the global technology sector, changing the approach of the companies from the traditional ones to the new AI based and automation systems.

Recently, Amazon CEO Andy Jassy cautioned that people who do not accept AI “would be left behind” thereby highlighting the fact that the technology has already become an integral part of corporate productivity and competitiveness.

Market observers say that the waves of restructuring due to AI would last at least till 2026 as the companies would need to maintain a balance between innovation and operational efficiency — thus not only changing the way things are done but also altering the very nature of the modern tech workforce.