Amazon plans to cut at least 14,000 jobs as the company shifts focus to AI innovation.

On Oct. 28, the e-commerce platform announced its workforce reduction, explaining that the changes would help Amazon respond faster to market changes by removing corporate layers and shifting resources.

Beth Galetti, Senior Vice President of People Experience and Technology at Amazon, said in the statement, “Some may ask why we’re reducing roles when the company is performing well.”

“This generation of AI is the most transformative technology we’ve seen since the Internet, and it’s enabling companies to innovate much faster than ever before,” said Galetti.

The layoffs follow CEO Andy Jassy’s June statement to employees that Amazon would need fewer people in existing roles as generative AI technology advances. The move also follows Jassy’s September note indicating that the company would evaluate its organizational structure to foster efficiency.

“We’re convinced that we need to be organized more leanly, with fewer layers and more ownership, to move as quickly as possible for our customers and business,” said Galetti.

Amazon plans to offer impacted employees 90 days to find new positions within the company. Those unable to secure internal roles will receive transition support, including severance pay and health care benefits.