Microsoft CEO Satya Nadella arrives at court in San Francisco, June 28, 2023.
Philip Pacheco | Bloomberg | Getty Images
Microsoft
confirmed Monday that it is reducing its workforce, following a downsizing announcement in January and a small number of cuts last year. According to a report by GeekWire, the latest round of cuts mainly affected customer service, support, and sales teams.
Scaled back hiring plans have been observed across technology giants like Amazon and Google, as they adjust their workforce after an influx of employees during the Covid-19 pandemic. Microsoft, in particular, has noted that clients are seeking ways to reduce costs on cloud computing services.
While Microsoft has not disclosed the exact number of job cuts, the company filed a notice indicating 276 people would be laid off in Washington, including 66 virtual employees. Salespeople and customer success representatives have taken to social media to announce their job losses.
A spokesperson for Microsoft stated that these organizational changes are a regular part of business management. The company will continue to invest in its growth areas and support its clients and partners.
WATCH: Morgan Stanley’s Keith Weiss discusses Microsoft’s generative AI position and its potential for growth.
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