Microsoft laying off employees for third time this year

Microsoft has reportedly announced another wave of layoffs. The organization, in order to streamline its workforce, is currently trying to reduce its personnel through layoffs.

According to the report, a number of LinkedIn posts emerged indicating that workers in product and program management positions were among those affected by the layoffs.

The layoffs affected numerous teams in different parts of the country. The organization, however, refused to disclose the precise number of workers it had let go of.

A Microsoft representative stated, "Workforce and organizational adjustments are a necessary and regular part of managing our business."

"We will keep putting our customers and partners first and investing in strategic growth areas for our future, he added.”

2,000 workers in the gaming division of Microsoft were laid off in January 2024, only months after the company's $69 billion acquisition of Activision Blizzard.

These layoffs occurred not long after Microsoft's fiscal year 2024 came to an end on June 30.

When the corporation starts a new fiscal year, it frequently restructures some aspects of its operations. Microsoft made about 1,000 job cuts in several divisions in June 2024.

The number of Microsoft employees increased during the COVID-19 epidemic, but it has since stabilized. According to the research, the corporation employed 2,27,000 people globally by the end of 2023, down from 2,32,000 in 2022.

The recent layoffs are a result of Microsoft's efforts to preserve its profit margins and boost capital spending in order to supply the cloud infrastructure required for the deployment and training of the models that drive AI applications.

There are other IT companies than Microsoft that have made employment cuts. Recently, layoffs have also been made by other tech businesses, including Ola Electric, Simpl, Google, and Meta.

According to another report, the tech sector has experienced a massive wave of layoffs, with over 98,000 workers being let go from over 330 organizations worldwide in the first half of 2024. There have been reports of job layoffs affecting about 98,834 employees.