Microsoft Planning On Another Round Of Layoffs

After laying off 10,000 staff in January 2023, Microsoft is reportedly planning another round of layoffs.

As per a report by GeekWire, this wave of job cuts affects employees beyond the initial 10,000 reductions and primarily impacts customer service, support, and sales roles. These layoffs coincide with the beginning of Microsoft’s 2024 fiscal year and just before the annual Inspire partner-focused conference.

In a notice filed on Monday, Microsoft revealed that it would be cutting 276 positions in its home state of Washington, with 66 of those positions being virtual.

The company is also expected to announce its earnings for the 2023 fiscal year and a fourth fiscal quarter later this month. Similar job reductions were implemented by Microsoft in the previous year as well, albeit on a smaller scale.

A Microsoft spokesperson explained that these organizational and workforce adjustments are routine and necessary for managing the company effectively. They further emphasised that Microsoft remains committed to investing in strategic growth areas to support customers and partners in the future.

Back in January, Microsoft CEO Satya Nadella attributed the substantial layoffs to over-hiring and macroeconomic conditions. With the US facing a recession and high inflation, several other technology companies, including Amazon and Google, have also downsized their workforce.

According to Layoff.fyi, a tracker of job reductions, a total of 216,328 employees have been laid off by 839 tech companies in 2023 so far.