Company culture is a key driver of success within any organization, but the Amazon culture reset is certainly a controversial one. Andy Jassy, CEO of Amazon, has been pushing his employees to their limits to establish a business that operates “like the world’s largest startup.” From strict RTO policies that broker no discussion, to a flattening of the management layer at the organization, there are many changes that have been directed at re-establishing what the company is about.
Some have called Amazon’s reset a harsh wake-up call for employees to conform or find their way out. With AI automation shouldering a considerable amount of work at the organization, the makeup of the workforce looks different from where it stood just a few years ago. There are a lot of lessons to learn from, giving HR teams the chance to consider what to adapt and avoid.
Amazon’s culture reset has involved a considerable number of changes to help it operate “like the world’s largest startup.” (Image: Pexels)
Does Amazon’s Culture Reset Set the Standard of Work for the Industry?
Much has been said with regard to the work culture at Amazon. While some businesses look to the organization as a blueprint for modeling their own firms, others have been critical of the harsh circumstances under which employees are expected to operate. Amazon’s warehouses have been at the center of much litigation with regard to the strenuous working conditions on offer and the excessive surveillance that employees undergo on the job.
The corporate workforce is no different, faced by multiple challenges that test their limits. The company was one of the biggest champions of a full-time return to work. While many employees threatened to quit over the RTO policy, Amazon stood its ground, refusing to budge on the matter. While workers have largely acquiesced and returned to work, they remain unhappy and unsatisfied with the change.
Fewer Managers at Amazon Following Layoffs
Amazon has also led the movement in favor of flattening the organization and eliminating multiple layers of bureaucracy. A significant number of managers have been laid off in the process, with Jassy stating that the best leaders were those who could “get the most done with the least amount of resources required to do the job.” He added that, “every new project shouldn’t take 50 or more people to do it.“
This newer approach of “flattening” organizations down to the essentials is a beneficial one in many regards, allowing businesses to eliminate unnecessary bottlenecks and bureaucratic complications. On the other hand, with fewer managers at Amazon, there is considerably more pressure on the remaining numbers to address the needs of the growing scale of employees they oversee.
Meritocracy Triumphs Under Amazon’s New Systems
While Jassy’s return-to-office mandates have not been approved by employees, perhaps its renewed approach to rewarding performance will. The organization appears to be doubling down on basing its job promotions on successful results that benefit the organization. Things get more complex when you consider that those long-overdue for a promotion might now be overlooked based on more stringent metrics that don’t necessarily consider their skillsets.
Meritocracy is a good thing for the working population, encouraging employees to do their best in order to see career progress, but it is also important to set fair and clear standards of evaluation. “It’s not how charismatic you are. It’s not whether you’re really good at managing up or managing sideways. What matters is what we actually get done for customers,” Jassy was reported to have said.
Amazon’s culture has always been one aimed at productivity, but in 2025, the company is redefining how it evaluates its productivity. “I need every leader on this team to step into the arena and commit to this higher standard. If they can’t or won’t, I need them to leave ASAP,” he wrote in an email seen by Business Insider. Ultimatums are not typically a part of the HR playbook, but in a fast-moving business like Amazon, it appears to be the best way forward.
Is Amazon Leaning Towards Micro-Management or a Cost-Efficient System?
The culture reset at Amazon isn’t exclusive to the makeup and performance of its workforce; it also closes in on employee expenses. Amazon’s latest employee “phone rule” requires workers to account for how much of their phone use is for work in order to adjust the $50 reimbursement that is offered. According to Business Insider, employees also need to justify business trips with more detail and provide a breakdown of their expenses by meal in order to account for their spending.
“We are constantly tired trying to keep up with the company’s policies and rules while also dealing with daily conversations around AI. There is so much going on with regulation that distracts us from the work that we’re being evaluated on. Any day could be our last,” one exhausted employee told The HR Digest.
In trying to restore Amazon’s urgency for efficiency gains, could the company be distracting workers from productivity? There is a very thin line between efficient management and micro-management, and Amazon appears to be toeing the line every day.
What We Can Learn from the Amazon Culture Reset
While Amazon’s cultural shift has been a harsh wake-up call for employees, it is hard to deny that the company has seen success through its operations. The company’s stocks are reportedly up by more than 30% the last year, and its profit per employee rose to $44,100 in the same period. From a new performance policy to having fewer managers at Amazon, there are many changes that appear to be helping the company thrive, however, the business is at risk of losing out on top talent.
Much like Meta’s struggles with retaining the talent it paid good money for, Amazon’s rigid RTO policy and strenuous work conditions could turn candidates away. For HR teams that are considering using Amazon’s workforce model, it is important to remember that the company’s competitive pay packages could continue to attract talent. A smaller business, on the other hand, might have to rely on its culture and team dynamics to draw workers in.
By over-emphasizing the smaller details, it can become easy to lose focus on the big picture. Micro-managing may be helpful in cutting down costs, but it does get in the way of performance and productivity when over-utilized. Having a balanced culture is essential to maintain the peace within an organization, and it involves flexibility and empathy as pillars that uphold that culture.
What do you think about culture reset at Amazon? Should more businesses follow along, or is there room for a more balanced approach? Let us know. Subscribe to The HR Digest for more insights on workplace trends, layoffs, and what to expect with the advent of AI.
