Amazon CEO Andy Jassy announced on Tuesday that the company’s corporate workforce will gradually shrink over the coming years as it increasingly adopts generative artificial intelligence tools and agents.

“We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs,” Jassy said in a memo to employees. “It’s hard to know exactly where this nets out over time, but in the next few years, we expect that this will reduce our total corporate workforce.”

Jassy has urged employees to embrace AI tools and innovate with leaner teams to boost productivity.

This push comes amid ongoing workforce reductions, with the company laying off over 27,000 employees since 2022.

Recent cuts include about 200 jobs in its North America stores unit in January and another 100 in the devices and services unit in May.

As of the end of March, Amazon’s global workforce stood at 1.56 million full-time and part-time employees, according to its financial filings.

This number excludes the temporary warehouse staff and contractors the company also employs.

Amazon is widely integrating generative AI across its internal operations, Jassy said, including in its fulfillment network where the technology supports inventory placement, demand forecasting, and optimizing warehouse robot efficiency.

Amazon has heavily invested in artificial intelligence, rolling out a range of its own AI products and rapidly expanding its data centers to keep up with growing demand for the technology.