AI's impact on the job market is ‘inevitable,’ says workforce expert: 'It's going to hurt for certain parts of the population'

For those concerned about AI’s impact on the job market, Amazon CEO Andy Jassy’s recent announcement may add even more fuel to the fire.

In a memo to Amazon employees on June 17, Jassy shared that the company plans to cut down their corporate workforce in the next few years due to “efficiency gains” from using AI.

“As we roll out more Generative AI and agents, it should change the way our work is done,” Jassy wrote. “We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs.”

Earlier this year, a World Economic Forum report found that 48% of U.S. employers plan to reduce their workforce because of AI.

While not all recent job cuts have been directly linked to AI, several other major tech companies are also looking to reduce their headcount: in May, Microsoft announced that they plan to cut 3% of their workforce, and Google recently offered another round of buyouts through their “voluntary exit program” to employees across the company.