Amazon's Automation Push: Balancing Efficiency and Employment Concerns

Amazon Plans to Replace 600,000 Human Workers With Robots, Report Says

The retail giant has used robots in its warehouses for years, but it appears that the company is ramping up in a big way. Amazon has been using robots in its warehouses for over a decade, and that's not stopping anytime soon. According to a report Monday from The New York Times, Amazon is seeking to ramp up its robot army at the cost of human jobs. Don't miss any of our unbiased tech content and lab-based reviews. Add CNET as a preferred Google source. The Times reports that internal Amazon documents suggest that the company is looking into building and using more robots to replace human workers. The publication doesn't specify if this will result in massive layoffs. However, the robots would allow Amazon to avoid hiring new workers to meet increasing demand, translating to 600,000 jobs replaced by 2033, according to the report. The report also says the company wants to mitigate the fallout in communities that may lose jobs. Documents show the company has considered building an image as a "good corporate citizen" through greater participation in community events such as local parades and Toys for Tots. And the leaked documents discuss avoiding using terms like automation and AI, instead using terms such as "advanced technology," and replacing the word "robot" with "cobot" to suggest collaboration. "Leaked documents often paint an incomplete and misleading picture of our plans, and that's the case here," an Amazon spokesperson told CNET in an email. "In this instance, the materials appear to reflect the perspective of just one team and don't represent our overall hiring strategy across our various operations business lines -- now or moving forward." The spokesperson said "no company has created more jobs in America over the past decade than Amazon" and that the company is actively hiring at operations facilities, with plans to fill 250,000 positions for the holiday season. Amazon is the third biggest employer in the US, behind the federal government and Walmart. To date, the company employs an estimated 1.5 million employees, most of whom work in warehouses or as delivery drivers. Only a handful of companies in the US have more than 600,000 employees on the payroll. Delivery company FedEx has an estimated 550,000 employees. A reduction of the size reported by The Times would be akin to FedEx disappearing entirely. Studies have been done on the impact of robots on human wages. As of 2020, every robot added by a company per 1,000 workers reduces US wages by 0.42% and has cost humans an estimated 400,000 jobs. "Our investments will continue to create substantial employment, emphasizing higher-paying positions," Amazon said in an email. "In particular, and as mentioned in The New York Times story, efficiency gains in one area enable us to invest in other areas -- both existing and entirely new ones -- that create additional value for customers. While it's difficult to predict the future precisely, our track record demonstrates that we've consistently been a major job creator while simultaneously investing in upskilling our workforce for evolving roles."

Amazon claims the headline isn't robots taking jobs as it reveals new cost-cutting robots

A New York Times report on Tuesday cited internal Amazon documents touting how its shift into automation could help it sell more products without hiring more people, but today the company has issued a PR blast about robotics and delivery tech that is much sunnier. Along with a tease of AI-connected augmented reality smart glasses and VR training for its drivers, Amazon showed off 10 robots it's using or testing right now (it didn't mention whether any of them had issues during the recent AWS outage). In one post, Amazon highlighted Blue Jay, a robot it calls "an extra set of hands that helps employees with tasks that involve reaching and lifting," and its agentic AI system Project Eluna, which "acts like an extra teammate, helping reduce that cognitive load" while optimizing sorting to reduce bottlenecks. Blue Jay can move 75 percent of the types of items Amazon stores, and is eventually supposed to be a "core technology" powering Same-Day delivery sites. The company says it developed Blue Jay in just over a year based on AI, digital twins, and data from robots already in use, creating a system that "coordinates multiple robotic arms to perform many tasks at once, collapsing what used to be three separate robotic stations into one streamlined workspace that can pick, stow, and consolidate in a single place." Amazon Robotics chief technologist Tye Brady says in the company's post that, "The real headline isn't about robots.. It's about people -- and the future of work we're building together." The blog post also reiterates a spokesperson's response to the Times report, saying that "no company has created more jobs in the U.S. over the past decade than Amazon," and touting plans to fill 250,000 positions for the holiday season. CEO Andy Jassy's June letter to employees about the impact of efficiency is a bit clearer. He wrote about generative AI, saying, "We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs. 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 as we get efficiency gains from using AI extensively across the company." The Times report suggests a similar plan for robotics and automation, citing Jassy's push to cut e-commerce costs and showing examples of how its warehouse overhauls are creating facilities that process more items with fewer employees who increasingly will focus on taking care of the robots.

Amazon Reportedly Wants Robots to Replace 600,000 Human Hires

When he's not battling bugs and robots in Helldivers 2, Michael is reporting on AI, satellites, cybersecurity, PCs, and tech policy. Amazon warehouse workers might soon need a robotics degree if they want to keep their jobs. The e-commerce company is looking to ramp up the use of automation in the coming years, which would allow it to hire about 600,000 fewer human employees, The New York Times reports. Amazon already employs at least 1.2 million workers, including over 721,000 laborers, to help ship and deliver orders to customers. But the Times says Amazon wants to keep its human workforce flat, even though it expects to double product shipments by 2033. Instead, machines would handle jobs currently held by humans. In the near term, the company's automation team predicts it can avoid hiring an additional 160,000 people in the US by 2027, according to the Times, which cites internal documents and interviews. Another major goal is to automate 75% of the operations at the company's warehouses. "Amazon is so convinced this automated future is around the corner that it has started developing plans to mitigate the fallout in communities that may lose jobs," the report adds. However, Amazon is pushing back. "Leaked documents often paint an incomplete and misleading picture of our plans, and that's the case here," a spokesperson told the Times. "In our written narrative culture, thousands of documents circulate throughout the company at any given time, each with varying degrees of accuracy and timeliness. In this instance, the materials appear to reflect the perspective of just one team and don't represent our overall hiring strategy across our various operations business lines -- now or moving forward," Amazon added. "The facts speak for themselves: No company has created more jobs in America over the past decade than Amazon." Still, Amazon CEO Andy Jassy this summer acknowledged that, "As we roll out more Generative AI and agents, it should change the way our work is done. We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs." Also this summer, Amazon boasted about using over 1 million robots to streamline warehouse operations. In addition, companies including Figure AI and Amazon's partner Agility Robotics are developing humanoid robots that could one day work in factories and warehouses. Plus, Amazon is working on software for humanoid robots ahead of planned testing at a "humanoid park" in San Francisco facilities, The Information reported in June. The park will have an indoor obstacle course, and Amazon hopes the humanoid robots will be able to hop on the back of a Rivian electric van and step out to complete deliveries. Following the Times report, Amazon pointed out that its robots are designed to help human employees "work smarter, not harder" by eliminating some repetitive tasks. Earlier this month, Amazon also announced plans to hire 250,000 people in the US for its annual holiday push. The automation push comes after a leaked Amazon memo from 2021 warned, "If we continue business as usual, Amazon will deplete the available labor supply in the US network by 2024," citing employee turnover amid concerns about rough working conditions at warehouses.

New report leaks Amazon's proposed mass-automation plans

The company reportedly believes it could avoid more than half a million future hires. Amazon is reportedly moving towards an era of unprecedented automation that would put half a million jobs in the US at risk. According to a series of interviews and internal documents referenced in an extensive report from The New York Times, Amazon executives expect to sell twice as many products by 2033. But by scaling up its robotics operations believe it could avoid the 600,000 hires it would otherwise have to make to keep up with the demand. According to the report, documents show that the ultimate aim of Amazon's in-house robotics department is to automate 75 percent of all operations, and if it is successful in making 160,000 fewer hires by 2027, the company would reportedly save 30 cents on each item it packs and delivers to customers in the US. Amazon recently its 1 millionth robot, a fleet it has been adding to since unveiling its fully autonomous mobile robot in 2022. Despite already pushing ahead with building warehouses that employ few humans, the NYT report claims that Amazon is planning for the eventual impact on affected communities and the potential backlash by participating in local events to establish a reputation as a "good corporate citizen." The internal documents also discuss the avoidance of terms such as "automation" and "AI" in relation to robotics, suggesting instead that executives use terms like "advanced technology" instead. They even consider replacing using "cobot" instead of "robot" as the former implies a collaborative relationship with humans. In a statement to the NYT, Amazon called the plans it cited incomplete and not reflective of its overall hiring strategy. It denied that its community efforts were related to its automation plans and said it's not insisting that its executives refrain from using certain terms. The company added that it planned to hire 250,000 people for the imminent holiday season, but wouldn't say how many of these would be permanent hires.

Amazon says its robots aren't taking human jobs, while unveiling more robots built to take jobs

Serving tech enthusiasts for over 25 years. TechSpot means tech analysis and advice you can trust. Facepalm: Amazon has responded to reports that the company aims to replace 600,000 US warehouse workers with robots by 2033. Predictably, it's trying to put a positive spin on the news, claiming that the "real headline isn't about robots" but about people. The message comes as part of an announcement revealing two new Amazon systems designed to perform human jobs. The New York Times reported this week that Amazon's robotics team aims to automate 75% of all operations at the company, thereby eliminating 160,000 positions that would have otherwise been required by 2027. The company hopes its robots will fill more than 600,000 US positions it would have had to hire for by 2033. Amazon's initial response was that the documents cited in the report were incomplete and didn't represent its overall hiring strategy. It also highlighted the 250,000 humans it planned to hire for the holiday season - though how long they'll be at the company is another matter. Now, Amazon has published a lengthy post about its latest projects, Blue Jay and Project Eluna, which frames the technologies as helping its human workers rather than replacing them. Robotic arm Blue Jay is described as "an extra set of hands" that helps employees with reaching and lifting. The robot has been tested at Amazon's South Carolina facilities, where it's already able to pick, stow, and consolidate approximately 75% of the item types the company stores at its sites. So, definitely no need for workers to worry, then. The other new system, Project Eluna, is an agentic AI system, something that is already taking jobs in other industries. Amazon says it pulls in historical and real-time data across a building to anticipate bottlenecks and keep operations running smoothly, and that it is designed to act with a degree of autonomy. Again, no need to panic about that part. Amazon emphasizes that the goal of these new technologies is to reduce highly repetitive tasks, improve ergonomics, and expand career pathways. The fact that automation is expected to save Amazon $12.6 billion from 2025 to 2027 alone is probably a factor, too. The post also states that no other company has created more jobs in the US over the past decade than Amazon. But it's hard to imagine people remembering that fact when robots start replacing more workers.

Amazon and the media: Inside the disconnect on AI, robots and jobs

SAN FRANCISCO -- Amazon showed off its latest robotics and AI systems this week, presenting a vision of automation that it says will make warehouse and delivery work safer and smarter. But the e-commerce giant and some of the media at its Delivering the Future event were on different planets when it came to big questions about robots, jobs, and the future of human work. The backdrop: On Tuesday, a day before the event, The New York Times cited internal Amazon documents and interviews to report that the company plans to automate as much as 75% of its operations by 2033. According to the report, the company's robotics team expects automation to "flatten Amazon's hiring curve over the next 10 years," allowing it to avoid hiring more than 600,000 workers even as sales continue to grow. In a statement cited in the article, Amazon said the documents were incomplete and did not represent the company's overall hiring strategy. On stage at the event, Tye Brady, chief technologist for Amazon Robotics, alluded to media coverage after he introduced the company's newest systems -- Blue Jay, a robotic setup that coordinates multiple robotic arms to pick, stow, and consolidate items; and Project Eluna, an agentic AI model that acts as a digital assistant for operations teams. Brady described the approach as "AI at work" -- "smarter systems, supporting people and creating a better workplace." He said the benefits for employees are clear: Blue Jay handles repetitive lifting, while Project Eluna helps identify safety issues before they happen. By automating routine tasks, he said, AI frees employees to focus on higher-value work, supported by Amazon training programs. Brady coupled that message with a reminder that no company has created more U.S. jobs over the past decade than Amazon, noting its plan to hire 250,000 seasonal workers this year. His message to the company's front-line employees: "These systems are not experiments. They're real tools built for you, to make your job safer, smarter, and more rewarding." 'The real headline is about people' Then he addressed the reporters in the room: "When you write about Blue Jay or you write about Project Eluna ... I hope you remember that the real headline is not about robots. The real headline is about people, and the future of work we're building together." Later, during a press conference, a reporter cited the New York Times report directly, asking Brady if he believes Amazon's workforce could shrink on the scale the paper described. Brady didn't answer the question directly, but described the premise as speculation, saying it's impossible to predict what will happen a decade from now. He pointed instead to the past 10 years of Amazon's robotics investments, saying the company has created hundreds of thousands of new jobs -- including entirely new job types -- while also improving safety. He said Amazon's focus is on augmenting workers, not replacing them, by designing machines that make jobs easier and safer. The company, he added, will continue using collaborative robotics to help achieve its broader mission of offering customers the widest selection at the lowest cost. In an interview with GeekWire after the press conference, Brady said he sees the role of robotics as removing the "menial, mundane, and repetitive" tasks from warehouse jobs while amplifying what humans do best -- reasoning, judgment, and common sense. "Real leaders," he added, "will lead with hope -- hope that technology will do good for people." When asked whether the company's goal was a "lights-out" warehouse with no people at all, Brady dismissed the idea. "There's no such thing as 100 percent automation," he said. "That doesn't exist." Instead, he emphasized designing machines with real utility -- ones that improve safety, increase efficiency, and create new types of technical jobs in the process. When pressed on whether Amazon is replacing human hands with robotic ones, Brady pushed back: "People are much more than hands," he said. "You perceive the environment. You understand the environment. You know when to put things together. Like, people got it going on. It's not replacing a hand. That's not the right way to think of it. It's augmenting the human brain." Brady pointed to Amazon's new Shreveport, La., fulfillment center as an example, saying the highly automated facility processes orders faster than previous generations while also adding about 2,500 new roles that didn't exist before. "That's not a net job killer," he said. "It's creating more job efficiency -- and more jobs in different pockets." The New York Times report offered a different view of Shreveport's impact on employment. Describing it as Amazon's "most advanced warehouse" and a "template for future robotic fulfillment centers," the article said the facility uses about 1,000 robots. Citing internal documents, the Times reported that automation allowed Amazon to employ about 25% fewer workers last year than it would have without the new systems. As more robots are added next year, it added, the company expects the site to need roughly half as many workers as it would for similar volumes of items under previous methods. Multi-billion-dollar savings Wall Street, meanwhile, is taking the potential impact seriously. A Morgan Stanley research note published Wednesday -- the same day as Amazon's event and in direct response to the Times report -- said the newspaper's projections align closely with the investment bank's own analysis. Rather than dismissing the report as speculative, Morgan Stanley's Brian Nowak treated the article's data points as credible. The analysts wrote that Amazon's reported plan to build around 40 next-generation robotic warehouses by 2027 was "in line with our estimated slope of robotics warehouse deployment." More notably, Morgan Stanley put a multi-billion-dollar price tag on the efficiency gains. Its previous models estimated the rollout could generate $2 billion to $4 billion in annual savings by 2027. But using the Times' figure -- that Amazon expects to "avoid hiring 160,000+ U.S. warehouse employees by '27" -- the analysts recalculated that the savings could reach as much as $10 billion per year. Back at the event, the specific language used by Amazon executives aligned closely with details in the Times report about the company's internal communications strategy. According to the Times, internal documents advised employees to avoid terms such as "automation" and "A.I." and instead use collaborative language like "advanced technology" and "cobots" -- short for collaborative robots -- as part of a broader effort to "control the narrative" around automation and hiring. On stage, Brady's remarks closely mirrored that approach. He consistently framed Amazon's robotics strategy as one of augmentation, not replacement, describing new systems as tools built for people. In the follow-up interview, Brady said he disliked the term "artificial intelligence" altogether, preferring to refer to the technology simply as "machines." "Intelligence is ours," he said. "Intelligence is a very much a human thing."

Amazon debuts new robotic system amid rumors of 600,000 job cuts

E-commerce giant Amazon has unveiled two new operations technologies, which it claims will work alongside employees to create safer and more efficient workspaces. The systems integrate the company's latest robotics and artificial intelligence (AI) technology. It says that the aim of these innovations is to reduce highly repetitive tasks, improve ergonomics, and expand career pathways. The robotic system, called Blue Jay, is capable of performing multiple tasks at once in the company's warehouses, as per Amazon.

Amazon to cut 600,000 human jobs for robots, claims insider report

Replacing human workers with robots to save billions of dollars Since 2018, the number of Amazon employees in the US has more than tripled to almost 1.2 million. Nevertheless, managers have reportedly informed the board last year that the company will not need to hire any more US employees in the future thanks to advancements in robot automation -- even if sales double by 2033. According to internal documents, around 160,000 jobs could be lost by 2027, particularly in logistics and warehousing. In the long term, Amazon plans to automate around 75 percent of all activities by 2033, which will save the company up to $12.6 billion (and according to projections, this will reduce the cost to sell each product by about 30 cents). Amazon already employs more than 1 million robots that support 1.6 million human workers. In the future, however, machines will no longer just help but completely take over many tasks -- even beyond the warehouse. Amazon is already working on robots for package delivery. According to the New York Times, Amazon is preemptively dodging criticism by molding its communication. Terms like "automation" and "artificial intelligence" are to be avoided in public. Instead, the company wants to talk about "advanced technology" or "cobots" (i.e., robots that work together with humans). Amazon is also planning to increase involvement in charitable projects to soften negative headlines.

Secret Plans Reveal Amazon Plot to Replace 600,000 Workers With Robot Army

Amazon has spent years automating its warehouses with robots. Its mechanical workforce is more than one million strong, rivaling the size of its human workforce of some 1.56 million people. Robots, in fact, are on track to outnumber Amazon employees. The Jeff Bezos-chaired company claims that the infusion of automation will drive up productivity and efficiency, while creating more high paying jobs. Some workers have praised the robot helpers for alleviating them of repetitive, backbreaking work. But experts, seeing the writing on the wall, have long warned that Amazon had an ulterior motive with the robots -- and now there's evidence to prove it. Interviews and leaked documents reveal that the company is planning to replace more than 600,000 jobs with robots, The New York Times reports. By the end, Amazon's robotics team aims to automate 75 percent of the company's entire operations. Seemingly, the calculus putting this into action is that it would save 30 cents on each item that it processes and delivers. Amazon's reported plans are an alarming wake-up call, as the rise of AI technology has already led to a slew of firings and raised the specter of widespread job destruction, especially among knowledge workers. As the second largest private employer in the US, Amazon has the resources to set a sea-changing precedent that could see manual labor jobs threatened, too. "Nobody else has the same incentive as Amazon to find the way to automate," Daron Acemoglu, an MIT professor and automation expert who won last year's Nobel Prize in economic science, told the NYT. "Once they work out how to do this profitably, it will spread to others, too." One of the main ways Amazon plans to achieve this is by slowing hiring to a crawl, even as the company expects to sell twice as many products by 2033, according to the reporting. At some locations like its warehouse in Stone Mountain, it also plans to whittle down its 4,000 employee work force through attrition. By the end, Amazon hopes that some of its fulfillment centers will barely need humans at all. Amazon's testing ground for its heavily automated vision is its warehouse in Shreveport, Louisiana, which is swarming with a thousand robots. "Once an item there is in a package," according to the NYT, a "human barely touches it again." The warehouse employed roughly 25 percent fewer humans last year than it would have without the robots, documents viewed by the NYT showed. "With this major milestone now in sight, we are confident in our ability to flatten Amazon's hiring curve over the next 10 years," the robotics team wrote in its strategy plan for 2025. Shreveport's model will be used at 40 Amazon facilities by the end of 2027, with the Stone Mountain warehouse projected to have its workforce reduced by up to 1,200 employees. Amazon clearly knows how bad this looks. The leaked documents suggest avoiding terms like "automation" and "AI" when discussing robotics. Its proposed alternative included "advanced technology," and "cobot," a portmanteau that's supposed to suggest collaboration between robots and humans. It already has plans for damage control in areas where human jobs are on the chopping block, with documents revealing how it weighed up creating an image as a "good corporate citizen" by participating in community events like parades and Toys for Tots. An Amazon spokesperson told the NYT that the documents didn't reflect the company's overall hiring strategy and insisted it was the viewpoint of only one group. The spokesperson also highlighted the company's plan to hire 250,000 people for the holiday season, but refused to say how many of those jobs would be permanent. In any case, the company expanded its human workforce at an unprecedented rate during the pandemic, which is now triple in size from where it was in 2018, so a hiring spree can't be taken as a guarantee against downsizing in the future. Acemoglu, the Nobel prize winning automation expert, warned that if Amazon's plans go through, "one of the biggest employers in the United States will become a net job destroyer, not a net job creator."

Amazon uses AI to make robots better warehouse workers

Amazon on Wednesday said it is speeding up the automation of its warehouses with the help of artificial intelligence and robotics, raising questions about the future of human workers. The e-commerce colossus known for its promise of quick deliveries showed off robotic arms and other high-tech warehouse tools in Silicon Valley, saying AI is not only powering innovations but accelerating how quickly they are developed by the second largest employer in the United States. "Blue Jay" robotic arms billed as capable of efficiently picking, sorting, and consolidating at a single workstation were among AI enhanced equipment items demonstrated by Amazon at a conference held in a massive distribution center in Silicon Valley. The arrival of Blue Jay, being tested in South Carolina, follows that of a Vulcan robot early this year that Amazon described as having a sense of touch while tending to its duty helping fulfill orders for customers. Amazon Robotics chief technologist Tye Brady credited AI with slashing the time it took to design, build and deploy Blue Jay by some two-thirds to just slightly more than a year. "That's the power of AI," Brady said. "Expect more rapid development cycles like this...we're on a trajectory to supercharge the scale and impact of innovation with our operations." Brady dismissed concerns that enhancing warehouses with robotics and AI will mean fewer jobs for humans, saying Amazon has created more US jobs in the past decade than any other company. "To our frontline employees, here's my message," Brady said. "These systems are not experiments. They're real tools built for you to make your job safer, smarter and more rewarding." However, The New York Times on Tuesday reported that robotics could let Amazon avoid hiring 160,000 workers in just two years even as its online retail business grows. Automation of Amazon warehouses could cut the need to hire, particularly when it comes to temporary workers needed for peak holiday shopping demands. Amazon on Wednesday also demonstrated an AI agent designed to manage robots and warehouse teams more efficiently. The e-commerce giant's innovations reach outside distribution centers, with Amazon demonstrating camera-equipped smart glasses that display navigation and delivery instructions to drivers.

Amazon uses AI to make robots better warehouse workers

Milpitas (United States) (AFP) - Amazon on Wednesday said it is speeding up the automation of its warehouses with the help of artificial intelligence and robotics, raising questions about the future of human workers. The e-commerce colossus known for its promise of quick deliveries showed off robotic arms and other high-tech warehouse tools in Silicon Valley, saying AI is not only powering innovations but accelerating how quickly they are developed by the second largest employer in the United States. "Blue Jay" robotic arms billed as capable of efficiently picking, sorting, and consolidating at a single workstation were among AI enhanced equipment items demonstrated by Amazon at a conference held in a massive distribution center in Silicon Valley. The arrival of Blue Jay, being tested in South Carolina, follows that of a Vulcan robot early this year that Amazon described as having a sense of touch while tending to its duty helping fulfill orders for customers. Amazon Robotics chief technologist Tye Brady credited AI with slashing the time it took to design, build and deploy Blue Jay by some two-thirds to just slightly more than a year. "That's the power of AI," Brady said. "Expect more rapid development cycles like this...we're on a trajectory to supercharge the scale and impact of innovation with our operations." Brady dismissed concerns that enhancing warehouses with robotics and AI will mean fewer jobs for humans, saying Amazon has created more US jobs in the past decade than any other company. "To our frontline employees, here's my message," Brady said. "These systems are not experiments. They're real tools built for you to make your job safer, smarter and more rewarding." However, The New York Times on Tuesday reported that robotics could let Amazon avoid hiring 160,000 workers in just two years even as its online retail business grows. Automation of Amazon warehouses could cut the need to hire, particularly when it comes to temporary workers needed for peak holiday shopping demands. Amazon on Wednesday also demonstrated an AI agent designed to manage robots and warehouse teams more efficiently. The e-commerce giant's innovations reach outside distribution centers, with Amazon demonstrating camera-equipped smart glasses that display navigation and delivery instructions to drivers.

Amazon to replace 600,000 jobs with robotics in seven years

TL;DR: Amazon plans to automate 75% of its operations by 2033, potentially replacing 600,000 jobs with robots to save $12.6 billion and reduce shipping costs. Despite internal documents revealing this strategy, Amazon denies these claims and highlights ongoing job creation, emphasizing cautious public communication about automation. Amazon is reportedly planning to cut as many as 600,000 human jobs over the next 7 years, which will eventually be replaced by robots. Internal documents obtained by The New York Times show Amazon's plans to automate approximately 75% of all its operational processes, which will result in approximately 600,000 job losses by the year 2033. For those who don't know, Amazon is one of the United States' largest companies by the number of employees it has under its banner, having tripled its workforce since 2018 to a staggering 1.2 million. However, Amazon's board has reportedly informed management that it will no longer need to hire additional US employees in the future due to advances in automation. The internal documents reportedly revealed that Amazon projects to save as much as $12.6 billion after the 600,000 workers are replaced by automation, and it will reduce the cost to sell each product it ships by approximately 30 cents. Amazon already has more than 1 million robots working for the company, and these robots support the 1.6 million workers. The report also states that Amazon is very particular about its communications, making sure what it says publicly can't lead to any backlash or speculation that it's planning to replace a significant portion of its workforce. For example, the company replaces words such as "automation" and "artificial intelligence" with "advanced technology" and "cobots" (robots working alongside humans) when speaking publicly. Following the report, Amazon has refuted The New York Times' claims, with Amazon spokesperson Kelly Nantel telling The Verge that the documents do not reflect the company's overall strategy and that they originated from an internal Amazon team. Furthermore, Amazon told the New York Times that it hasn't told its managers not to use specific words related to robotics, while also pointing to the 250,000 new jobs it plans to create over the Christmas period.

Amazon Could Bring Robots to Replace Half a Million Human Jobs

An Amazon spokesperson reportedly rejected the idea of such a move Amazon could reportedly use robots and automation to replace future human workers. As per the report, the Seattle-based tech giant is planning to reduce reliance on hiring new workers and replace those jobs with artificial intelligence (AI)-powered robotics. If things go according to the claims, the e-commerce giant could avoid hiring as many as 6,00,000 workers in the US by the year 2033. In anticipation of backlash, the company has reportedly told its executives not to use words such as automation, robots, and AI. Amazon's Automation Plans Could Replace Half a Million Jobs According to The New York Times, Amazon is leaning towards workplace automation to reduce its need for human workers. Based on interviews and internal strategy documents viewed by the publication, it claims the company is planning to avoid hiring more than 1,60,000 human workers in the US by 2027. The move will reportedly help it save 30 cents (roughly Rs. 26) on each item the company picks from the warehouse, packs, and delivers to the end customer. Based on the documents, the report claims that the company executives told the board members that robotic automation can handle selling and fulfilling delivery of twice as many products without requiring new workers by 2033. In terms of real-world impact, the number could reportedly be in excess of 600,000. This is significant given that Amazon's US workforce currently includes 1.2 million workers. The documents reportedly also reveal that the company's robotics division is planning to revamp the entire warehouse technology to automate as much as 75 percent of the operation. It is unclear whether this would lead to the layoff of current warehouse workers in the US or not. Interestingly, the publication claims that Amazon is already preparing for a backlash that it is likely to receive due to large-scale automation. Some of these measures to become a "good corporate citizen" reportedly include participation in community events and avoiding terms such as automation and AI when discussing robotics. Instead, the company executives have reportedly been told to use words such as advanced technology. Citing the documents, the publication claims that the company plans to replace the word robot with "cobot," which means machines that collaborate with humans. Amazon spokesperson Kelly Nantel told the NYT that the documents only highlight the opinions of a single team in the company, and not of the company at large. Nantel also claimed that Amazon is planning to hire 2,50,000 US workers for the upcoming holiday season, although it was not revealed whether these were seasonal contractual hires or permanent roles. The spokesperson also denied claims of insisting that employees not use certain words related to automation.

The robot takeover is closer than you think. What happens to human jobs?

In a world where technology is advancing at breakneck speed, the workplace is undergoing a seismic shift. Amazon is stepping up its game, aiming to integrate automation into over half a million positions within the next ten years. With giants like Walmart and UPS making substantial investments in robotic systems, the road ahead is paved with both challenges and opportunities. When Amazon first introduced robots into its warehouses more than a decade ago, they looked harmless -- squat, orange pucks gliding across the floor, ferrying shelves of goods to human workers. Today, those little "helpers" represent something much bigger: a seismic shift in how work itself is done. According to internal strategy documents obtained by The New York Times, Amazon now believes it can replace more than half a million jobs with robots over the next decade. The company expects to avoid hiring 160,000 workers in the US by 2027, which would save roughly 30 cents per item picked, packed, and shipped. It's already inching close to that reality. Amazon's global fulfilment network now employs over one million robots, nearly matching its 1.5 million human workers. Most customer orders are already processed with robotic assistance, and analysts expect the company's warehouse operations to reach robot-human parity by 2026, according to GeekWire. Also Read: Amazon sees faster delivery speeds with hi-tech driver eyeglasses, AI Daron Acemoglu, the MIT economist who won last year's Nobel Prize in economic science, called Amazon's plans a potential turning point. "Once they work out how to do this profitably, it will spread to others, too," he told NYT. "One of the biggest employers in the United States could become a net job destroyer, not a net job creator." The trend isn't confined to Amazon. Walmart, the largest private employer in the US, plans to fit 90 million grocery pallets with AI-driven sensors by 2026, cutting routine tasks like temperature checks and manual tracking, the Financial Times reported. The company said it's not eliminating jobs but "removing monotonous tasks from as many roles as possible." American logistics giant, UPS, too, is deep in transformation. Its $9 billion "Network of the Future", unveiled in 2024, aims to close 200 US sorting facilities while building 400 automated ones by 2028. The logistics giant expects automation to boost its operating margins to 12% by 2026, according to a 2024 investor presentation. Even Tesla, long synonymous with the future of driving, is testing its fully autonomous "robotaxi" service in Austin, Texas, albeit with mixed results. NBC News reported multiple incidents where cars drove on the wrong side of the road, broke traffic laws, or braked abruptly without reason. Waymo, Alphabet's self-driving division, has faced similar setbacks, with one of its cars filmed illegally passing a stopped school bus in Georgia, CBS News said. And then there's Amazon's Prime Air, the futuristic drone delivery service. It was temporarily grounded this summer after two drones collided with a crane in Arizona, sparking a fire, according to CNN. The company said it has resumed operations after "enhanced visual landscape inspections." The pace of change is staggering not just for companies but for countries, too. According to the International Federation of Robotics (IFR, 2023), South Korea now operates about 1,012 industrial robots per 10,000 manufacturing employees -- roughly 10 robots for every 100 humans -- the highest robot density in the world. Singapore ranks close behind at around 770 robots per 10,000 employees. While robots haven't yet outnumbered humans outright, these figures highlight how deeply automation has taken root in some economies. These incidents highlight an uncomfortable truth: while the technology is advancing rapidly, it's far from perfect. Also Read: 'Vast human space colonies, robots to commute to moon': What Amazon founder Jeff Bezos has predicted to happen by 2045 While automation and AI are reshaping workplaces at a dizzying pace, humans remain far from obsolete. According to the World Economic Forum's Future of Jobs Report 2025, by 2030, macrotrend-driven changes -- including AI and automation -- will affect roughly 22% of today's formal jobs. Specifically, 170 million new jobs are expected to emerge, while 92 million current jobs could be displaced, resulting in a net growth of 78 million jobs worldwide. Reskilling will be critical. Of 100 global workers, 59 will need upskilling or reskilling by 2030 -- but 11 may not receive it, putting over 120 million at medium-term risk of redundancy. Half of employers globally plan to reorient their business to leverage AI-driven opportunities, with 77% planning to upskill workers. At the same time, 41% anticipate workforce reductions, though nearly half expect to transition staff into other roles to mitigate the human cost of technological transformation. US-specific data from the Society for Human Resource Management (SHRM) 2025 Automation/AI Survey paints a similar picture. About 15.1% of US employment -- roughly 23.2 million jobs -- is already at least 50% automated. Most affected occupations are computer and mathematical roles (32%), production (22.8%), and architecture/engineering (21.7%). Roles involving interpersonal skills or low-tech tools, such as education and healthcare, face significantly lower automation risk, the survey noted. Taken together, these findings underscore that automation is as much about job transformation as it is about elimination. Even Amazon admits human intervention is critical. "It's not humans versus machines at all," said Tye Brady, Amazon's chief robotics technologist, in a 2019 BBC interview. "It's humans and machines working together to achieve a task." Brady described automation as a "symphony" of humans and robots, each enhancing the other's capabilities. Machines excel at precision and endurance, but people still dominate in dexterity, creativity, and compassion. Robots, for instance, still struggle to pick up irregularly shaped objects, a task human hands can perform effortlessly. The company has said it plans to retrain workers for technical roles, citing its mechatronics apprenticeship program, which has upskilled about 5,000 employees since 2019. "It can be a very successful path," Udit Madan, Amazon's global operations head, told NYT. Goldman Sachs estimates that up to 50% of jobs worldwide could be automated by 2045, largely through generative AI and robotics. Yet the firm's researchers are cautiously optimistic. In a 2025 report, they noted that 60% of US workers today are in occupations that didn't exist in 1940, meaning more than 85% of employment growth since then stems from technology-driven job creation. In other words, while automation replaces some jobs, it also creates new ones. "Technology change tends to boost demand for workers in new occupations," the report said. That's how economic revolutions -- from the industrial age to the computer era -- have unfolded time and again. Oxford Economics reached a similar conclusion. It found that automation would disproportionately affect repetitive, low-skill jobs but that "compassion, creativity or social intelligence" remain uniquely human advantages, ones likely to be irreplaceable "for decades to come." The firm estimated that a 30% increase in robot installations worldwide could add $5 trillion to global GDP. Still, as Gartner's analyst Helen Poitevin warned, the transition won't be smooth. When AI takes over basic tasks, "employees starting roles in professions where AI has already received extensive investment often have to start with more complex work from their first day." Companies are struggling to find workers skilled enough to handle these roles -- widening the gap between those who can adapt and those who can't. (You can now subscribe to our Economic Times WhatsApp channel)

Amazon's Plan To Eliminate Half-a-million Jobs Shows Good And Bad Of AI

Enter your email to get Benzinga's ultimate morning update: The PreMarket Activity Newsletter How AI, automation and robotics are changing everything, for better and for worse The world of AI, automation and robotics are a mixed bag. One perspective is the angle of the investor or corporate leadership welcoming Artificial Intelligence and all it can bring to the table. On the other hand, while cutting workers is a great way to save money or improve automation, job loss will result. This will painfully impact the workforce and negatively impact countless families. Will this have a positive or negative impact on the economy as a whole? While we are all excited about the good news brought by AI, automation and robotics, we need to dig deeper regarding how we will solve the real problems it creates. Amazon recently made news saying they will save money and improve operations by reducing their workforce by more than half a million jobs, replacing them with AI, automation, robots, and other technology. They put out this story, which focused on the good AI and automation will bring. That's how they see it. They had a certain position in mind. However, they must have been surprised when the media took the opposite side of the argument. While Amazon and investors look at this shift as good, its workers and the media obviously think the opposite. And that is the problem. The same story has two different reactions and both are valid. So, how do companies successfully move forward in this new environment? Every transformational technology wave struggles with good and bad Every transformational wave has wrestled with the push-and-pull created by new technology. Remember when the railroads gave way to trucking and the automotive industry? Or when electricity replaced candles and gas? Or when gas replaced horsepower? There are countless examples to consider over time. The difference today with AI is that these new major shifts do not come with a move. Instead, many say this is job elimination. Sure, some workers will shift for a while. However, it looks like this massive move will be different from the past. With regards to AI, the question is will the job market decline or just shift? We will have to wait and see. But it is best to be prepared. AI transformation is full of both good and bad, depending on the angle Many wonder if many jobs are lost, and there is no longer a need for the human or the workforce, how will families and, in fact, our entire economy survive? The way I see it, the real answer is both. This is not a zero-sum game. We must recognize there is both a benefit and a cost to this kind of rapid and transformative AI innovation. As an Industry Analyst and columnist, I am a curious type. I am often asked by the media which side I come down on. I typically say the truth is, both. There is real value and a real threat. I can see both saved money and improved service. I can also see the real problems that are already starting to occur. And new technology like AI is still just in its infancy. These are the questions, the benefits and the problems that are already occurring today. What about tomorrow? They say AI will grow more rapidly as time moves forward. My question is, we cannot stop this next change wave. So, how will we handle it going forward? Benefits and drawbacks of AI will continue to advance going forward In the 1990s, I gave a speech to corporate executives, investors and customers talking about the Internet. Back then, I used the term "Information Superhighway" and all the changes it would bring. At that time, we had no idea we would be wrestling with this kind of new technology, which would both positively and negatively impact our society. This will not impact every job. There are plenty which should continue as it. But it will impact so many others. This is similar to what happens when two companies merge. The talk from the PR department of countless companies is only about all the good that will occur. Afterwards, as jobs are cut, the real pain sets in. However, that pain was never discussed before the approval of the M&A activity. Today, it is more important than ever before to think through the next steps of what we are creating today. How do we solve the growing problem of good and bad with AI? That's what happened in this Amazon story. Sure, new technology could save them money and make them more valuable, but it will also cause job loss, impacting the workforce. One positively impacts the value of the company. The other creates real problems for individuals with job loss. Here is another important question. If jobs are lost, and income stops, who will be left to spend money and buy the next iPhone, Android, computer and more. In fact, take this a step further and ask how we will make the house payment, the car payment or put food on the table. In other words, what will this massive change do to the economy as a whole? New technology is bringing so much transformation, occurring so quickly that we tend to block it out as a society. Investors, executives and workers must keep eyes on both sides That being said, keeping our eyes closed is not the answer. That will be very costly. When I advise corporate leadership, I stress how we need to pull the camera back and have a clear vision of the world we are rushing into. We must develop a strategy to move forward, but we must remain in control. To welcome new technology while protecting the workforce and the larger economy. We cannot slow AI progress because China and others will win On the other hand, global leaders in AI like the USA and China will not slow down. In fact, China seems to be more concerned with winning this race and dominating the world rather than on survival of the family or how fewer people working will reduce sales of companies the economy is built on. There are so many different angles we can -- and must -- focus on when discussing this massive change wave sweeping the world. As investors, and frankly, everyone must keep their eyes open for the best next steps and not cut ourselves off at the knees while we are reaching for the stars. We must focus on every step of this new journey, for the better and the worse. Featured Image Credit: AI Benzinga Disclaimer: This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy. Market News and Data brought to you by Benzinga APIs

Amazon layoffs: Is Amazon replacing humans with robots? Leaked docs reveal company's plan to replace 600,000 workers with robots by 2027

Amazon layoffs just took a futuristic turn. Leaked internal documents suggest the company could replace 600,000 U.S. jobs with robots by 2027 -- part of a $12.6 billion automation drive. By 2027, around 160,000 warehouse roles may vanish as machines take over picking and packing. Amazon says it's not a mass firing -- just "efficiency." But the data paints a different story: fewer human hands, more robots, and a rapidly changing future of work. Amazon layoffs are back in focus after leaked internal documents revealed plans to replace up to 600,000 U.S. workers with robots by 2027. The automation blueprint shows Amazon targeting 75% robotic operations to save $12.6 billion in labor costs between 2025 and 2027. Sources say 160,000 warehouse roles could be impacted in the next two years. The tech giant denies a mass layoff plan but confirms ongoing automation investments reshaping its U.S. workforce. According to the internal papers, Amazon's robotics and automation teams have mapped out a long-term plan to automate up to 75% of its warehouse and logistics network. This could mean as many as 600,000 jobs replaced or avoided by 2027, signaling one of the largest labor transformations in U.S. corporate history. If the projections hold true, the company's U.S. workforce of over one million employees could look dramatically different within the next few years. Amazon's fulfillment centers -- once bustling with human workers sorting, packing, and shipping -- may soon be dominated by fleets of intelligent robots handling most repetitive tasks around the clock. The move is part of Amazon's broader strategy to cut costs and increase efficiency as global competition in e-commerce intensifies. By replacing manual labor with AI-driven machines, the company aims to process orders faster, reduce operational errors, and deliver products with greater precision. At the heart of this transformation are advanced robotics systems like Proteus and Sequoia, capable of navigating crowded warehouses autonomously. These machines are equipped with sensors, cameras, and AI algorithms that allow them to move, lift, and sort packages without human supervision. The automation plan also extends beyond warehouses. Insiders claim Amazon is exploring AI-driven logistics and delivery operations, including self-driving delivery vehicles and drone shipping programs. Together, these technologies could streamline the company's supply chain -- but they could also disrupt tens of thousands of traditional delivery jobs in the coming decade. For many workers, the revelation feels like a warning. Employees in Amazon facilities across the U.S. are already noticing more robots on the floor and fewer human colleagues. Some say they fear being phased out quietly as machines become faster, safer, and cheaper. Experts say this shift could reshape the entire logistics and retail job market. As Amazon leads the way, competitors like Walmart and Target may feel pressure to adopt similar automation models to remain competitive. That could accelerate a nationwide trend where millions of low- to mid-skill jobs are replaced by machines over the next decade, forcing workers to adapt or retrain. Still, Amazon insists that automation doesn't necessarily mean job losses -- at least not immediately. The company argues that new technologies create opportunities in robotics maintenance, programming, and AI management, fields that require new skill sets and higher technical training. If Amazon's plan succeeds, the company could emerge as a model of AI-driven efficiency, setting a precedent for global corporations seeking to modernize operations. However, the social and economic trade-offs may be enormous. Amazon has been investing heavily in robotics and AI for over a decade, but the new internal plans suggest a faster and more aggressive approach. The documents show that by 2027, Amazon expects to automate most of its U.S. fulfillment centers, using robots to handle packaging, sorting, and movement of goods. The company already operates with more than 750,000 robots worldwide, but the new plan could see that number grow sharply. These advanced machines -- including the Proteus and Sequoia models -- are designed to move freely through warehouses, replacing the repetitive physical tasks once handled by humans. The goal is clear: efficiency, speed, and lower labor costs. Amazon reportedly expects to save around $12.6 billion from automation between 2025 and 2027. That would give it a massive competitive edge while cutting dependency on human labor during busy seasons like Prime Day and the holidays. Yet for employees, the question looms large -- will there be enough work left for people once robots take over the floor? The leaked data points to around 600,000 U.S. jobs being replaced, including warehouse staff, delivery station workers, and even some administrative roles. These are positions that involve repetitive, predictable tasks -- the kind of work automation handles most efficiently. While Amazon insists that automation helps "create safer and smarter workplaces," critics say the company is gradually shifting away from its human workforce. Warehouse associates who lift, sort, and pack goods are most vulnerable, while higher-skilled positions such as robotics maintenance, programming, and systems management may see growth. Experts warn that this could widen the gap between low-wage and tech-skilled workers. Communities that rely heavily on Amazon jobs -- particularly in smaller towns -- could face severe economic consequences if automation rolls out faster than new jobs appear. The plan also mentions avoiding the hiring of up to 160,000 new workers who would otherwise have been needed by 2027. That means fewer opportunities for new employment, even as the company continues to expand. In response to reports about its internal automation goals, Amazon has maintained that these are internal projections, not official company policy. Executives have repeatedly said that robots are meant to "work alongside humans, not replace them." The company argues that automation improves workplace safety by reducing heavy lifting and repetitive strain. It also claims that many new roles are emerging -- from robotics technicians to AI system monitors -- creating opportunities for workers willing to retrain and adapt. However, not all employees are convinced. Many warehouse workers have expressed uncertainty about their long-term job security. Some say they already see more machines and fewer people on the floor. Others worry that retraining programs won't be enough to keep pace with rapid automation. The company's leadership, including CEO Andy Jassy, has acknowledged that artificial intelligence will "reduce the corporate workforce over the next few years." But so far, Amazon insists the broader workforce transformation will be gradual, not abrupt. If Amazon follows through on its automation targets, it could mark a turning point for the American labor market. The retail giant employs more than one million workers in the United States, making it one of the largest private employers in the world. Any major workforce shift at this scale could ripple through other industries. Economists say Amazon's move toward heavy automation could pressure competitors -- such as Walmart, Target, and FedEx -- to speed up their own robotics adoption. This could reshape the logistics and e-commerce job market nationwide, potentially reducing millions of low-skill jobs over time. At the same time, the rise of automation is expected to create demand for technical and supervisory roles, such as robotics engineers, AI operators, and warehouse safety managers. The challenge will be ensuring that displaced workers have access to training and pathways into these new positions. For policymakers, the issue goes beyond Amazon. It raises bigger questions about how to balance innovation with job protection, and whether companies should contribute more to retraining programs that prepare workers for the future. Automation has always been part of Amazon's growth story. Since acquiring robotics startup Kiva Systems in 2012, the company has integrated machines into nearly every aspect of its logistics operations. Robots now help lift heavy items, scan barcodes, and transport products between storage areas and packing stations. Amazon says this technology helps reduce injuries and improve productivity. Yet many employees feel the pace of change is faster than expected -- and that their jobs could vanish within a few years. Industry analysts say the reality lies somewhere in between. Robots will handle more routine work, while humans will take on roles that require problem-solving, oversight, and human judgment. The transition, however, won't be painless. It will require massive investment in retraining, support programs, and long-term planning to avoid widespread unemployment.

Amazon Memos Point To Robot Takeover -- 600,000 Jobs Could Vanish - Amazon.com (NASDAQ:AMZN)

Amazon.com Inc (NASDAQ:AMZN) celebrated a robotic milestone earlier this year while making sure to say the company was not replacing human workers. New documents show that Amazon could have new plans to replace the necessity to hire human workers thanks to its robotic progression. * AMZN stock is gaining positive traction. Get the inside scoop here. Robots Take Over Over the years, Amazon has utilized robots and technology advancements to make its warehouses more efficient and lower its operating costs to help lower costs for consumers and improve operating margins. With sights set on more improvements to efficiency and costs, Amazon could be looking to replace future workers with robots. Benzinga reached out to Amazon for comment and had not heard back at publication. Internal documents from Amazon, viewed by the New York Times, show the e-commerce giant could turn to robots instead of hiring 160,000 people it needs to maintain growth of current and future operations by 2027. By replacing the future human workers with robots, Amazon would save an estimated 30 cents per item purchased and delivered to customers, according to the documents. With a goal of selling twice as many products as it currently sells by 2033, Amazon would need to hire around 600,000 people. The company is hoping robot advancements mean it won't have to add to its existing workforce in the U.S., potentially replacing those 600,000 future jobs with robots. Some of Amazon's warehouses already have fewer and fewer humans being utilized thanks to robotic advancements. Amazon's ultimate goal is for 75% of its operations to be automated. A document from Amazon's robotics team said it was helping to "flatten Amazon's hiring curve over the next 10 years." The statement came after an advanced warehouse in Shreveport, Louisiana, showed that 25% to 50% fewer human workers were needed with more robots used from the beginning. That design is expected to be copied by 40 Amazon facilities by the end of 2027. The documents show Amazon may already be preparing for the potential fallout from job losses and a lack of future hiring by making greater efforts in community events to instill goodwill with communities that have warehouses. Amazon may also have executives stop using certain words and phrases such as "automation" and "AI" in the future, preferring instead to say "cobot" to imply robots are working in close collaboration with humans. In the New York Times, Amazon spokeswoman Kelly Nantel said the documents viewed were incomplete and not the full picture of the e-commerce giant's future hiring goals. Nantel said Amazon plans to hire 250,000 people for the 2025 holiday season, but declined to say if any of those holiday roles would be permanent. Amazon told the New York Times that it does not have any words or phrase requirements for executives and plans to advance community involvement is not related to job losses. Read Also: Amazon Q2 Earnings Highlights: Double Beat, 'AI Progress Across The Board Continues' Job Losses Could Have Big Impact A Nobel Prize winner told the New York Times the potential job losses from Amazon could have an effect on employers such as Walmart and UPS, which could choose to also advance automation efforts and cut human jobs. "Nobody else has the same incentive as Amazon to find the way to automate," Massachusetts Institute of Technology professor Daron Acemoglu said. "Once they work out how to do this profitably, it will spread to others, too." Acemoglu, who won the Nobel Prize in economic science in 2024, said Amazon could quickly go from best to among the worst in employment. "One of the biggest employers in the United States will become a net job destroyer, not a net job creator." Amazon is the second-largest employer in the U.S., hiring hundreds of thousands of workers nationwide in recent years. The company's workforce is around 1.2 million employees in the U.S., more than tripling since 2018. In July, Amazon said that it is offering training for employees to learn robotics management and offering career paths alongside its robotic advancements. Amazon acquired robotic company Kiva Systems in 2012 for $775 million. Kiva changed its name to Amazon Robotics in 2015 and has been a large focus of the e-commerce company's automation efforts since then. The acquisition could end up being one of the most important in Amazon's history as the e-commerce giant gets closer to having more robots employed than humans. Amazon Stock Price Action Amazon stock is up 2.682% to $222.58 on Tuesday versus a 52-week trading range of $161.43 to $242.52. Amazon stock is up 1.3% year-to-date in 2025. Read Next: Jeff Bezos Owned 43% Of Amazon At IPO -- Now He's Down To 9% Photo: Amazon employee with mobile robot, courtesy Amazon AMZNAmazon.com Inc$222.202.64%OverviewMarket News and Data brought to you by Benzinga APIs

Amazon's radical 'job destroyer' set to 'spread' to other companies

Amazon executives are moving to replace more than half a million workers with robots within the decade to save the company billions. The retail website, which has become America's second-largest employer behind Walmart, has tripled its workforce to 1.2 million since 2018. However, Amazon is planning drastic changes for its workforce over the next eight years. A cache of internal strategy documents, viewed by The New York Times, revealed Amazon executives were close to enacting the company's next big move. Amazon's automation team will seek to avoid hiring more than 160,000 people in the US by 2027. Executives told Amazon's board in 2024 the robotic automation would help the company avoid having to hire 600,000 people by 2033, when the company expects products sold to double. This translates to about 30 US cents saved on each item Amazon product packaged and delivered to customers. The ultimate goal is to automate 75 per cent of all operations to ensure superfast deliveries. Internal documents revealed that Amazon is convinced the move will come into effect soon, and therefore the company has already begun its PR campaign to build its "good corporate citizen" image. Accordingly, Amazon is participating in community events such as parades and the Toys for Tots foundation. The documents have also suggested Amazon tailor its language to avoid words such as "automation" and "artificial intelligence" and replace them with words such as "advanced technology". The word "robot" is also under consideration to be tweaked to "cobot", which suggestive of collaboration with humans. The radical measure is seen as a "job destroyer" by 2024 Nobel Prize winner and MIT economic science professor Daron Acemoglu. "Nobody else has the same incentive as Amazon to find the way to automate," Professor Acemoglu said. "Once they work out how to do this profitably, it will spread to others, too." Mr Acemoglu said if Amazaon's plan comes to fruition, the second largest employer in the US will become a "net job destroyer, not a net job creator". In July, Amazon's global head of PR for robotics and AI, Xavier Chao, compared AI robots and sorting machines to offices having a coffee machine and snacks close to the desks. "Retention is very, vitally important for us if we want to continue to manage and sustain our business and grow; we have to retain our workforce," Mr Chao said. "And so we think that innovation is part of the solution of creating a nice workplace that attracts people, and retains staff."