Amazon and Disney Face Potential Layoffs Amid Restructuring Efforts
Concerns Over Amazon Layoffs
Fears of layoffs have escalated following reports suggesting that Amazon may initiate another round of job cuts in May 2026, potentially affecting around 14,000 employees. This information surfaced on the job forum Blind, where verified employees can anonymously discuss workplace issues, as well as from the Chinese tech site Lei Feng Network. The reports indicate that divisions such as Amazon Web Services, retail, and human resources could be impacted by these layoffs. According to Blind, insiders have indicated that these layoffs are part of a broader restructuring strategy. However, Amazon has refuted claims regarding the potential termination of 14,000 employees in May, stating, "These reports are false and not based in fact.”
It's important to note that in June of the previous year, Amazon's CEO, Andy Jassy, communicated in a memo that the integration of AI into the company's operations would reduce the need for certain roles currently held by employees.
Since October 2025, Amazon has already eliminated nearly 30,000 positions, representing about 10% of its corporate workforce, and has hinted that further reductions may be forthcoming. The company has made significant investments in AI firms like Anthropic and OpenAI and is reportedly planning to allocate over $125 billion towards data centers.
Disney and Oracle Also Announce Layoffs
In related news, Disney is preparing to lay off 1,000 employees in the upcoming weeks, marking one of the first major actions under the leadership of new CEO Josh D’Amaro. Since Bob Iger returned as CEO in 2022, Disney has already reduced its workforce by over 8,000. According to the Wall Street Journal, the plans for these layoffs were in motion prior to D’Amaro's appointment.
Additionally, tech giant Oracle has initiated one of the largest layoffs in recent history, with plans to cut approximately 30,000 jobs globally, including 12,000 in India. The layoffs come with a stipulation: employees must complete the necessary paperwork via DocuSign to qualify for severance benefits. In essence, without a signature, there will be no payout. The company has not yet released an official statement regarding the layoffs or the conditions tied to severance.