Amazon accidentally sends layoff email, fuelling fears of fresh job cuts

Amazon

• Amazon email suggests layoffs in AWS and retail units, no official word yet
• Project Dawn mentioned in internal email, causing confusion among staff
• Amazon to shut down Fresh supermarkets and Go stores, focus on Whole Foods

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Amazon may have inadvertently confirmed what many employees were already bracing for. On Tuesday, staffers in its cloud division received an internal email referencing “organizational changes” and impacted colleagues, despite no official layoff announcement yet being made.

The email, written by Colleen Aubrey, senior vice president of applied AI solutions at Amazon Web Services, acknowledged that “changes like this are hard on everyone” and described the decisions as part of positioning AWS for “future success.” The message, viewed by CNBC, also referenced a post by Amazon HR chief Beth Galetti and suggested that some employees had already been notified of their status.

Confusion quickly followed. The subject line mentioned “Project Dawn,” and the email appeared to have been cancelled or recalled shortly after it was sent. Amazon has not clarified what Project Dawn refers to, or whether the message was released prematurely. The company did not respond to requests for comment.

Layoffs expected across AWS and retail units

The timing of the email has heightened speculation that Amazon is preparing to announce another round of corporate layoffs as soon as this week. According to people familiar with the matter, Amazon Web Services and its core retail and stores operations are among the teams expected to be affected.

The potential cuts would follow a major reduction announced in October, when Amazon said it would lay off 14,000 corporate employees. At the time, the company warned that job losses would extend into 2026 as it looked for “additional places we can remove layers.”

CEO Andy Jassy has been explicit about the goal. Amazon wants fewer management layers, less bureaucracy, and faster decision-making. He has also repeatedly pointed to artificial intelligence as a force that will reshape the company’s workforce, saying efficiency gains from AI are likely to shrink Amazon’s corporate headcount over time.

Earlier on Tuesday, Amazon announced a shake-up of its grocery business, confirming it will shut down Amazon Fresh supermarkets and Go convenience stores. The company plans to focus more heavily on Whole Foods and online grocery delivery.

In a memo to staff, grocery chief Jason Buechel said Amazon needs to make more “deliberate choices” to win over customers. He also outlined further changes, including the creation of a new leadership role focused on grocery quality.

Amazon is set to report its fourth-quarter earnings after market close on February 5. With investors closely watching margins, AI spending, and cost controls, the accidental email has only intensified scrutiny of how deep Amazon’s next round of cuts may go.