Amazon will cut about 14,000 corporate jobs as the online retail giant ramps up spending on artificial intelligence

The company's top human resources executive said Tuesday that the tech giant needs to be "organized more leanly" due to the "transformative" nature of AI.

Amazon layoffs impact 14,000 corporate employees as AI innovation plays a factor in reducing staff roles, Amazon confirms to employees today.

"We’re convicted that we need to be organized more leanly, with fewer layers and more ownership, to move as quickly as possible for our customers and business," the company told staff Tuesday.

Amazon announced plans to layoff around 14,000 of its corporate workforce as it shifts to investing more in AI amid CEO Andy Jassy's ongoing cost-cutting drive.

The other thing that makes this seem different from past layoffs is who is affected. Amazon has already optimized its warehouses. It isn’t cutting the workers who handle packages—in fact, the company plans to hire 250,000 seasonal employees to ramp up for the holidays.

Amazon CEO Andy Jassy said earlier this year that the Washington-based company could shrink its workforce by embracing AI. The firm is part of a cohort of large-cap companies that have seen their AI-related productivity increase as the technology becomes mainstream.

Amazon will cut about 14,000 corporate jobs as the online retail giant ramps up spending on artificial intelligence while trimming spending.