Regional offices across Asia could see bulk of job cuts as MNCs adopt AI

Al-driven efficiencies threaten jobs in regional centres especially middle managers.

- Xu Le

When Amazon announced 14,000 job cuts across its global offices, including in Singapore, it echoed similar moves by Microsoft and TikTok earlier in 2025 and signalled a broader restructuring driven by rapid advances in artificial intelligence.

Official explanations vary, but the underlying message is clear. The global corporate footprint that once justified large regional teams is being redrawn by technology.

For years, multinational corporations spread routine work across time zones to capture lower labour cost advantages in customer support, data processing and accounting.

But now, automated agents can plan and execute tasks, monitor their progress and course-correct, with only exceptions requiring human review. Generative AI can also be used to carry out much of this work faster and more accurately.

Once these tasks are automated, the rationale for maintaining parallel junior teams across hubs weakens. Governance also becomes simpler when AI models, data pipelines and audit functions sit closer to product and risk teams, typically in the global headquarters in the United States or Europe.

THE GREAT RESTRUCTURING

There is currently no public data breaking down AI-driven job losses between headquarters and regional offices. This absence is not surprising as AI-driven restructuring is still in its early stages, and the effects typically surface only after several workforce cycles. Moreover, MNCs have no regulatory obligation to disclose layoffs by geography, so filings rarely specify where the cuts happen.

But regional hubs are undoubtedly more vulnerable. MNCs including Amazon, Microsoft and IBM, have historically placed large, shared service centres in Singapore, Manila and Kuala Lumpur.

Headquarters, by contrast, tend to house product, strategy and market-facing roles less susceptible to automation.