Microsoft is once again laying off in a big way. Company announced biggest cuts since two years ago
Microsoft announces massive layoffs - 3% of its global workforce will lose their jobs. This could be the company's biggest job cuts since a major „wave” in 2023.
Layoffs in the industry have been coming back like a boomerang for the past few years, and this time it's Microsoft's turn again. According to CNBC, the American giant announced that it will be laying off 3% of its workforce, which means thousands of people worldwide will lose their jobs.
This decision will affect all departments, levels, and regions, and it aims to "implement organizational changes that will best prepare the company to operate in a rapidly changing market."
At the end of June, Microsoft had around 228,000 employees, so it's easy to calculate that 3% of them to be let go is over 6,800 jobs. The company informed CNBC that one of the main goals of the restructuring is to reduce the number of management layers, which should improve internal efficiency and speed of operation.
Even though the number of people affected by layoffs in the gaming branch hasn't been disclosed, it's hard to ignore that this is yet another wave of cuts this year. In January 2025, the company cut jobs in the sales, security, and gaming departments, but those decisions were based on performance evaluations (via Business Insider). This time, as reported by CNBC, the layoffs aren't related to employee performance, but to the restructuring of the company.
This is the largest wave of layoffs at Microsoft since 2023, when about 10,000 people were fired. The decision was made despite Microsoft's strong financial performance, with a net profit of $25.8 billion in the last quarter and optimistic forecasts for the coming months.
The company recently also announced price increases for Xbox Series consoles, accessories, and games. Microsoft remains at the center of the industry's attention, partly due to its acquisition of Activision and its victories in disputes with the American FTC.
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