Microsoft To Layoff 3% Of Global Workforce

Technology giant Microsoft (MSFT) has announced that it is laying off 3% of employees across its global workforce, a decision that will impact about 6,000 people.It’s Microsoft’s largest round of layoffs since the elimination of 10,000 positions in 2023. The company had 228,000 employees worldwide at the end of June 2024.The new round of job reductions is expected to lower headcount at Microsoft’s Seattle headquarters by 1,985 people.In a statement, Microsoft said that it is aiming to reduce layers of management and cut down on internal bureaucracy.Analysts expressed surprise at the layoffs coming as they do after Microsoft reported better-than-expected financial results in April, with $25.8 billion U.S. in quarterly net income.Executives at Microsoft also provided upbeat forward guidance for the remainder of 2025. However, Microsoft Chief Executive Officer (CEO) Satya Nadella said that the company would make changes after it delivered slower growth than expected in Azure cloud that isn’t tied to artificial intelligence (A.I.). Microsoft’s stock is up 7% this year and currently trading at $449.14 U.S. per share.