Amazon AWS VP Greg Pearson Sends Emotional Memo to Staff

Amazon has initiated a massive new wave of workforce reductions, reportedly cutting approximately 16,000 positions across its global operations.

Amidst the turmoil, Greg Pearson, Vice President of Worldwide Sales and Marketing for Amazon Web Services (AWS), issued a poignant memo to the remaining staff, urging them to “take care of each other” as the cloud computing division absorbs a significant portion of the impact.

Strategic Realignment and Efficiency

The layoffs, which primarily target AWS, Twitch, and the company’s Advertising and Prime Video units, represent Amazon’s continued effort to “right-size” after the rapid hiring surge of the pandemic era.

Despite being a major profit engine for the company, AWS is undergoing a strategic realignment to focus on high-growth areas like Generative AI and infrastructure efficiency.

Executives cited the need for a leaner structure to remain agile in an increasingly competitive cloud market dominated by rivals Microsoft and Google.

Amazon AWS Internal Memo: Focus on Mental Health

In a leaked internal communication, Greg Pearson acknowledged the emotional toll of the restructuring.

He emphasized that while the business must evolve, the human cost cannot be ignored.

Greg’s message focused on empathy, encouraging leaders to provide support to those staying behind who may be grappling with “survivor’s guilt” and increased workloads.

“This is a difficult day for everyone,” the memo stated, “and our priority must be supporting our colleagues—both those leaving and those remaining.”

Industry Context and Market Reaction

This latest round brings Amazon’s total layoffs over the past two years to over 43,000, making it one of the largest contractions in big-tech history.

Analysts suggest that the move is designed to protect margins as enterprise cloud spending shows signs of stabilization rather than explosive growth.

While investors have largely reacted positively to the cost-cutting measures, internal morale remains a concern for HR leadership.

Amazon AWS Support for Departing Employees

Amazon has committed to providing severance packages that include a separation payment, transitional health insurance benefits, and job placement support.

However, for many in the Seattle and Arlington tech hubs, the sudden departure of 16,000 peers marks a sobering start to the 2026 fiscal year.

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