Amazon, UPS Cut Thousands Amid AI Automation Shift

Major corporations in the U.S. and Canada, including Amazon and UPS, are conducting significant layoffs primarily driven by the adoption of artificial intelligence (AI) and automation to boost efficiency and reduce costs. Amazon announced plans to cut up to 30,000 corporate jobs, with 14,000 layoffs already occurring, particularly impacting management and corporate roles as AI replaces repetitive and analytical tasks. UPS has also reduced its workforce by 48,000 roles this year, citing a strategic transformation to increase profitability amid market pressures. Canadian firms such as TD Bank, Scotiabank, and Air Canada are similarly restructuring, reducing middle management and corporate staff to streamline operations while investing in AI solutions. While these layoffs aim to enhance shareholder value and corporate agility, experts and investors recognize the need for companies to balance cost-cutting with long-term growth, innovation, and workforce investment to sustain success. The trend reflects a broader shift in workforce requirements as AI reshapes business operations and corporate communications face new challenges in managing the human impact of automation.