Amazon’s Automation Drive Could Slash U.S. Workforce
(MENAFN) Amazon is preparing a major automation overhaul that could eliminate the need to hire more than half a million employees in the United States over the next several years, The New York Times reported Tuesday.
According to internal documents and interviews obtained by the newspaper, Amazon’s robotics division plans to automate up to 75% of its operations. This initiative may enable the e-commerce giant to avoid hiring more than 160,000 new workers just through 2027, with projected savings reaching $12.6 billion between 2025 and 2027 alone.
The company anticipates doubling product sales by 2033 without increasing its workforce proportionally, based on the reviewed documents. Amazon argues that automation will relieve employees from monotonous tasks while creating technical roles in robot maintenance and engineering.
The New York Times also noted that Amazon is carefully shaping its public narrative around automation, favoring terms like “advanced technology” and “cobot” instead of “robots” or “automation” to mitigate potential public resistance.
In response, Amazon disputed the report’s findings, claiming the documents were incomplete and did not represent its overall hiring strategy. Spokesperson Kelly Nantel told the newspaper, “Amazon plans to hire 250,000 workers for the upcoming holiday season,” but declined to clarify how many of those jobs would be permanent.
Since 2018, Amazon’s U.S. workforce has expanded significantly, now totaling approximately 1.2 million employees.
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