Amazon is laying off approximately 14,000 corporate workers, about 4% of its workforce, as it reallocates resources to invest heavily in artificial intelligence amid pressure from investors to tighten finances. The layoffs follow disappointing growth in Amazon's AI business and come in the context of broader job cuts across the retail sector, including Starbucks and Target. CEO Andy Jassy has indicated that increasing efficiency through AI will likely reduce the overall corporate workforce in the coming years.

Many American companies are opting to maintain or even reduce their workforce, betting that artificial intelligence can handle increased sales and operational demands without additional hiring. Firms like JPMorgan Chase and RTX are leading the trend, citing a cautious approach to hiring in an uncertain economic climate.