In 4th lay off round of year, Microsoft to cut jobs across various teams, regions, and experience levels, CNBC reports
US-based tech giant Microsoft announced Wednesday that it will lay off 9,000 employees which is around 4% of its global workforce across various teams, regions, and experience levels, according to CNBC.
This round of lay off is the fourth one this year. The tech firm slashed around 1% of its workforce in January. In May, it cut over 6,000 jobs and in June, it laid off 300 employees.
In 2023, Microsoft slashed 10,000 jobs. The company employed 228,000 employees as of June 2024.
After purchasing Nokia's devices and services division in 2014, Microsoft laid off 18,000 employees, possibly the biggest layoff in corporate history.
According to the source, Microsoft wants to cut down on the number of tiers of managers that separate senior executives from individual contributors, much like it did with the layoffs in May.
“To position Gaming for enduring success and allow us to focus on strategic growth areas, we will end or decrease work in certain areas of the business and follow Microsoft's lead in removing layers of management to increase agility and effectiveness,” Phil Spencer, Microsoft's CEO of gaming, wrote in a Wednesday memo to employees in that division.
Microsoft reported nearly $26 billion in net income on $70 billion in revenue in the latest quarter, above market expectations.
The company stands as the second most valuable firm in the world with a market cap of $3.66 trillion, recently losing the first place to Nvidia.
The shares of the company were up 0.11% as of 1510GMT Wednesday to $492.59.
