After thousands of other layoffs since last year, Microsoft will start terminating the employment of over 270 people, including remote workers.
To further reduce the size of its workforce, Microsoft Corp (NASDAQ: MSFT) announced a new wave of layoffs on Monday. The IT behemoth acknowledged the internal news to Geek Wire but did not provide a start date or expected job loss total.
Microsoft did not provide any additional information, but data from the Worker Adjustment and Retraining Notification (WARN) system run by the Washington State Employment Security Department shows that 276 people would be affected by the layoffs, including 210 in the Washington cities of Redmond and Bellevue and 66 in remote positions. Just as Microsoft’s 2023 fiscal year was coming to a close, employment layoffs were announced. The success of the company depends on making staff changes, according to a corporate spokesperson quoted by Geek Wire:
“Managing our business requires organizational and workforce changes on a regular basis. For our future and the support of our clients and partners, we will continue to give strategic development sectors top priority and financial investment.
Microsoft’s previous layoffs
Microsoft announced layoffs in January that might affect up to 11,000 workers. As the world economy deteriorated, the corporation sought to run its operations as cheaply as possible.
The negative impacts of the global economic slump are perhaps another factor that led to the decision to implement staff layoffs. In addition to MSFT’s decline, Microsoft’s Azure cloud platform wasn’t operating as well as anticipated. The next two years “are probably going to be the most challenging,” according to CEO Satya Nadella. He claimed that the business will probably go through some “normalization” after the “acceleration” it had undergone during the pandemic. Nadella also mentioned that Microsoft might be impacted by a genuine recession.
Microsoft launched a round of covert layoffs last October that affected less than 1,000 workers. According to a report, the layoffs primarily impacted Microsoft’s Xbox division and the organization for Strategic Missions and Technology. A corporate spokesman claimed that the choice was made after assessing priorities and implementing structural changes.
Tech Layoffs beginning in 2022
The newest round of layoffs at Microsoft come after numerous, apparently endless layoffs in the worldwide technology sector. 10,524 people were laid off in June 2023, according to a TechCrunch article, including employees from Microsoft, Meta, Y Combinator, Twitter, Waymo, GitHub, and Yahoo. According to the data, may saw a larger number of layoffs, affecting 14,555 workers. The worst month was January, when a record 84,714 workers were let off.
As of July 11, 844 IT companies had fired 216,364 workers. This information is from the tracker Layoffs.fyi. According to Crunchbase, with 16,000 roles affected so far in 2023, Amazon has experienced the greatest number of layoffs. With 12,000, Alphabet had the second largest.
According to Layoffs.fyi, 1,058 enterprises would lay off 164,709 IT workers in total in 2022. Meta announced 11,000 job layoffs in November, while Amazon.com Inc. let go 18,000 workers, or 6% of the workforce. Additionally, Salesforce disclosed that it would fire approximately 7,000 employees, or 10% of its workforce. The corporation will employ more than 72,000 people worldwide as of July 11, 2023.
Microsoft is set to terminate the employment of over 270 people, including remote workers, in a new wave of layoffs. The company announced the announcement on Monday, but did not provide a start date or expected job loss total. The Worker Adjustment and Retraining Notification (WARN) system by the Washington State Employment Security Department shows that 276 people would be affected by the layoffs, including 210 in Redmond and Bellevue and 66 in remote positions. The company’s success depends on making regular staff changes, and CEO Satya Nadella believes the next two years will be the most challenging. The company’s recent tech layoffs come after numerous layoffs in the worldwide technology sector, with 10,524 people laid off in June 2023.
As of July 11, 844 IT companies had fired 216,364 workers. Amazon has experienced the greatest number of layoffs, followed by Alphabet with 12,000. As of July 11, Microsoft will employ over 72,000 people worldwide.