On Monday, over 300 employees were informed that their roles had been cut, as per a notice from Washington state reviewed by Bloomberg.
A Microsoft representative stated that this recent reduction in workforce adds to the 6,000 job cuts announced last month. “We continue to implement the organizational changes necessary to position the company for success in a dynamic marketplace,” the spokesperson added.
The surge in artificial intelligence has disrupted the tech labor market, with companies emphasizing AI-centered roles and leveraging the technology to reduce costs.
Microsoft, along with companies like Meta Platforms Inc., has highlighted the benefits of AI-assisted coding tools in accelerating software development. Just last week, Salesforce Inc. indicated that utilizing AI internally has enabled it to reduce hiring.
Microsoft’s previous layoffs primarily impacted software engineers. It remains unclear which specific roles were affected on Monday. As of June 2024, the company employed approximately 228,000 full-time staff, with 55% based in the US.
