Robots will replace 5 lakh jobs in Amazon: Will do work like picking, packing and delivery, will save ₹ 1 lakh crore by 2027

Robots can replace more than 5 lakh jobs in e-commerce company Amazon in the coming days. Meaning, tasks like picking, packing and delivery in the warehouse will be done by robots and the need for humans will reduce. This information has come to light in a New York Times report.

The report said that since 2018, Amazon’s US workforce has tripled to about 12 lakh. But now due to automation new hiring can be stopped.

Amazon executives told the board that robotic automation would allow the company to keep its hiring curve flat despite projections of doubling sales by 2033. That means, Amazon will not need to hire more than 5 lakh additional employees.

Estimated savings of Rs 1 lakh crore by 2027

Internal documents reveal that these robots will save up to 30 cents (about Rs 2.5) per item picked, packed and delivered. A total savings of $ 12.6 billion (about Rs 1 lakh crore) can be achieved between 2025 and 2027.

Plan to automate 75% of operations

Amazon’s plan is to build such warehouses where fewer people work. These warehouses will be designed for superfast delivery. The company’s robotics team’s final plan is to automate 75% of operations.

• Amazon launched its most advanced warehouse in Shreveport last year. Human interference has reduced a lot in this. With 1,000 robots running, the facility reduced its workforce by 25% last year compared to a non-automated setup.
• Amazon plans to copy the Shreveport design in about 40 facilities by the end of 2027. It is starting with a recently opened large warehouse in Virginia. Amazon has also started renovating old facilities.

Amazon’s plan is to build such warehouses where fewer people work.

Amazon said – documents received by NYT are incomplete

Amazon spokeswoman Kelly Nantel said the documents obtained by NYT are incomplete. These do not reflect the company’s full hiring strategy. This is just a group’s view. He also told that 2.50 lakh staff will be hired for the holiday season, but did not say how many will be permanent.

Amazon’s Global Operations Head Udit Madan said in an interview – Efficiency in any one part is not the whole story. Our old tradition is that new jobs are created with the money saved from automation. Like recently more delivery depots were opened in rural areas. Meaning, the company is saying that if robots save money, jobs will come in new places.

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