Microsoft to Streamline Workforce with New Job Cuts

Image Credit: Reuters

Microsoft Corporation (NASDAQ: MSFT) is planning job cuts across the company and tightening its approach towards underperforming employees, according to a Business Insider report on Tuesday.

A company spokesperson confirmed the upcoming layoffs but did not specify the extent of the reductions. The report also mentioned that the company likely filled the vacated positions, resulting in minimal change to Microsoft's overall workforce.

As of June 2024, Microsoft employed around 228,000 people.

Over the past two years, the company has implemented several rounds of layoffs, particularly within its gaming division, which faced underperformance. In 2023, Microsoft cut approximately 10,000 jobs, and another 4,000 roles were eliminated in 2024.

These layoffs align with broader industry trends, as many tech firms have faced challenges due to high interest rates and reduced investment since late-2022. However, the growing artificial intelligence sector is expected to provide some relief, with Microsoft investing billions into enhancing its AI capabilities.

The company did not immediately respond to a request for comment.

 

 

 

 

 

 

 

 

 

 

Paraphrasing text from "Investing.com" all rights reserved by the original author.