Microsoft plans to lay off approximately 6,000 employees, which constitutes 3% of its global workforce of around 228,000. This reduction marks one of the largest staff cuts since the company laid off 10,000 employees in 2023. A spokesperson indicated that these layoffs are part of necessary organizational changes to adapt to a dynamic marketplace.
Despite reporting a strong quarter with $70.1 billion in revenue (up 13%) and $25.8 billion in net income (up 18%), the layoffs will affect all levels, locations, and teams within the company. Unlike previous layoffs in January, which were performance-based, this new round is not related to employee performance. The trend of layoffs is prevalent across Big Tech, with companies like Amazon and Meta also announcing cuts in January.
