Amazon, Microsoft, TCS & Other IT Firms Cut Thousands of Jobs Amid Rising AI Adoption | Read Here

Outlook Business Desk

Amazon Job Cuts

E-commerce giant Amazon plans to cut nearly 15% of its human resources workforce, primarily in the People eXperience Technology (PTX) team, with minor layoffs in other departments globally, reported Fortune on Wednesday, 15 October 2025.

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HR Workforce Impact

The HR department alone has over 10,000 employees worldwide, as per the news portal’s report. The layoffs are part of Amazon’s efforts to reduce employee costs while heavily investing in artificial intelligence products and infrastructure.

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AI Investments Rise

Amazon aims to strengthen its artificial intelligence infrastructure. As AI adoption grows, the company prioritises efficiency and cost reduction, leading to significant reductions in HR and selected other roles.

IT Layoff Trend

Other major IT firms are also reducing staff amid AI expansion. Companies like TCS, Accenture, Microsoft, Salesforce, and Google are restructuring to improve efficiency and cut operational costs globally.

TCS Job Cuts

Tata Consultancy Services (TCS) plans to lay off around 12,000 employees, or 2% of its workforce, in financial year 2025-26. This includes an initial 6,000 cuts earlier this year.

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Salesforce Reduction

Salesforce has also cut nearly 4,000 customer support roles, reducing its workforce from 9,000 to 5,000 employees. The layoffs follow the increased adoption of AI tools in service operations.

Other IT Cuts

Microsoft reduced almost 40% of jobs in its software engineering division. IBM cut about 1,000 roles while focusing on hybrid cloud and AI. Cognizant removed 3,500 employees to simplify operations.

Wipro Layoffs

Wipro reportedly cut 24,516 positions to improve efficiency and productivity. Many global tech firms are under pressure due to US business challenges and potential H-1B visa fee hikes.

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AI Workforce Shift

Tech companies worldwide face job disruptions as AI tools replace certain human roles. Firms prefer AI adoption to enhance productivity, efficiency, and cost savings, impacting thousands of employees across sectors.

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