Tech News
← Back to articles

Amazon's Big Holiday Plan? Replacing 600,000 Human Workers With Robots, a New Report Says

read original related products more articles

Let's be real: Robots doing the grunt work at Amazon warehouses is nothing new; they've been sorting and moving packages for over a decade. But that was just the beginning.

Amazon is now reportedly planning to make its human workforce a whole lot less necessary. According to The New York Times, the company is looking to replace replacing more than half a million jobs its human employees hold with a new, expanded robot army.

Don't miss any of our unbiased tech content and lab-based reviews. Add CNET as a preferred Google source.

Internal Amazon documents suggest that the company is looking into building and using more robots to replace human workers. The publication doesn't specify if this will result in massive layoffs. However, the robots would allow Amazon to avoid hiring new workers to meet increasing demand, translating to 600,000 jobs replaced by 2033, according to the report.

Amazon announced in June that it had hit a workforce milestone of deploying more than 1 million robots in its fulfillment and delivery network, making it about two-thirds the size of the company's human workforce. The Amazon documents show that the company's goal is to automate 75% of its operations, The Times reported.

The shift to increase the role of robots in Amazon's warehouse could save the company billions of dollars each year. Morgan Stanley analyst Brian Nowak estimated the annual savings to be as high as $4 billion by 2027, according to a CNBC report.

The report also says the company wants to mitigate the fallout in communities that may lose jobs. Documents show the company has considered building an image as a "good corporate citizen" through greater participation in community events such as local parades and Toys for Tots. And the leaked documents discuss avoiding using terms like automation and AI, instead using terms such as "advanced technology," and replacing the word "robot" with "cobot" to suggest collaboration.

"Leaked documents often paint an incomplete and misleading picture of our plans, and that's the case here," an Amazon spokesperson told CNET in an email. "In this instance, the materials appear to reflect the perspective of just one team and don't represent our overall hiring strategy across our various operations business lines -- now or moving forward."

The spokesperson said "no company has created more jobs in America over the past decade than Amazon" and that the company is actively hiring at operations facilities, with plans to fill 250,000 positions for the holiday season.

Impact on jobs

... continue reading