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2025 R&D layoffs tracker hits 132,075 as Amazon CEO signals AI will cut more jobs

By Brian Buntz | June 18, 2025

[Last updated on June 18, 2025]

Amazon CEO Andy Jassy recently hinted that AI would result in jobs cuts across the e-commerce giant, declaring “we will need fewer people doing some of the jobs that are being done today” as the company accelerates development of over 1,000 generative AI applications. He counseled employees to begin exploring “how to get more done with scrappier teams.”

AI transformation sparks management restructuring at Amazon

Amazon CEO Andy Jassy set a goal to increase the ratio of individual contributors to managers by at least 15% by Q1 2025, part of a broader effort to revive startup culture and reduce bureaucracy. This aligns with industry-wide trends: U.S. public companies have reduced their white-collar workforces by 3.5% over the past three years, with management positions dropping 6.1% between May 2022 and May 2025, according to WSJ analysis of Live Data Technologies figures.

The admission from Jassy comes after as tech companies restructure their workforces for the AI era in part of a wave of hardware and AI-driven layoffs that has already eliminated 143,075 jobs across R&D-intensive companies as of June 17 2025.

As Google extends buyout offers to employees across its core search, engineering and marketing divisions, the scale of workforce reductions in 2025 has already surpassed many previous years. Meta’s 5% workforce reduction targeting “low performers” and Microsoft’s 10,885 layoffs add to an industry-wide pressure.

Hardware sector leads YTD 2025 job cuts

Intel’s announcement of 22,300 positions to be eliminated represents the single largest reduction, accounting for 16.9% of all tracked layoffs. The cuts come as Intel restructures to compete in AI chip markets dominated by NVIDIA, which saw its data center revenue surge 154% year-over-year.

Combined with reductions at Dell Technologies (12,000), Cisco Systems (5,600) and multiple semiconductor firms, the hardware sector has shed 68,620 jobs. That’s 52% of all tech layoffs tracked in 2025.

Here’s a break down of the top 15 layoffs in terms of scale, rounded:

Intel and Dell top the list of layoffs so far this year in our tracker, with Microsoft now third at 10,885.

Intel and Dell top the list of layoffs so far this year in our tracker, with Microsoft now third at 10,885.

AI transformation sparks management restructuring at Amazon

Amazon CEO Andy Jassy set a goal to increase the ratio of individual contributors to managers by at least 15% by Q1 2025, part of a broader effort to revive startup culture and reduce bureaucracy. While Morgan Stanley analysts projected this could involve eliminating up to 14,000 managerial positions, Amazon has not confirmed these specific numbers. The company has introduced a “bureaucracy tipline” and implemented smaller layoffs in communications and sustainability units as part of ongoing efficiency efforts.

The move reflects a broader industry trend, with companies like Meta and Google also cutting middle-management layers to improve agility. Microsoft analyst Gil Luria estimates that for every year Microsoft invests at current AI infrastructure levels, $80 billion planned for this year, there are 10,000 positions the company could have to either let go unfilled or cut.

2025 tech layoffs by sector reveal hardware's unprecedented dominance, accounting for 39% of the 132,075 total job cuts tracked.

2025 tech layoffs by sector reveal hardware’s unprecedented dominance, accounting for 39% of the 132,075 total job cuts tracked.

Federal research agencies face tough times

Deep cuts to federal research have reached significant proportions, with NSF Director Sethuraman Panchanathan abruptly resigning in May after writing to staff: “I have done all I can.” His departure followed the White House’s proposal to slash NSF’s budget by 56%, from $8.8 billion to $3.9 billion, while demanding staff cuts of 25–50%.

The Productivity Paradox: One in five S&P 500 companies now employ fewer workers than a decade ago, even as corporate profits hit record highs. Bank of America exemplifies this trend: cutting staff from 285,000 to 213,000 while increasing revenue 18%.

The National Institutes of Health faces a 40% budget reduction to its $47.4 billion budget, with plans to merge its 27 institutes into just eight and eliminate critical programs in nursing and minority health research. In February, NIH slashed indirect cost rates for all grants from 40-70% down to just 15%.

Beyond budget cuts, DOGE operatives have directly intervened in the grant process. At NSF, three DOGE members gained access to grant management systems in April, freezing all new research awards and terminating over 1,000 active grants. The agency, which funds 25% of all federally supported basic research at 1,800 institutions, has seen its grant awards drop by half compared to 2024.

Combined federal research cuts now total:

  • NSF: 375-750 positions (up to 50% of workforce)
  • NIH: Unspecified cuts amid 40% budget reduction
  • CDC: 1,300 positions (10% of workforce) with 44% budget cut proposed
  • NIST: 497 positions

Biopharma faces continued pressure

The life sciences and biopharma sectors have experienced significant workforce churn in 2025, with over 32,000 positions eliminated across more than 60 layoff events through mid-May. Major pharmaceutical companies have led the cuts, with Teva Pharmaceuticals’ global restructuring affecting 2,900 roles and Bristol Myers Squibb planning to trim over 2,200 jobs by year’s end as part of a broader effort to save approximately $1.5 billion as of 2025.

The layoffs have impacted both established pharma giants and clinical-stage biotechs, with a string of clinical-stage companies axing 30-75% of their workforce. For example, Gilead Sciences cut 325 R&D-specific positions across multiple sites, while smaller biotechs have implemented even more drastic measures. Encoded Therapeutics cut its workforce by roughly 29%, and others like IGM Biosciences ended research entirely after partnership terminations.

Cumulative tech layoffs accelerate through 2025, reaching 132,075 by June 17, an average of 5,616 jobs lost per week.

Cumulative tech layoffs accelerate through 2025, reaching 132,075 by June 17, an average of 5,616 jobs lost per week.

As “revenue per employee” becomes corporate America’s new obsession, layoffs tracked here represent part of a broader philosophy shift. Companies increasingly view smaller workforces as evidence of efficiency.

Stay tuned for regular updates. For corrections or additions, send us a tip.

 

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