Microsoft to Lay Off 3% of Workforce, Affecting Thousands: Reports
Microsoft is reportedly laying off about 3% of its entire workforce, according to multiple reports from outlets including CNBC and The Verge on May 13. USA TODAY has reached out to Microsoft for comment.
With approximately 228,000 employees worldwide as of June 2024, including 126,000 in the United States, the tech giant’s reported layoffs would leave more than 6,000 people without jobs. This latest round of cuts marks the continuation of significant workforce reductions in the tech industry.
The news follows Microsoft’s significant job cuts in 2023, when the company eliminated 10,000 positions. Earlier in 2024, roughly 1,900 employees were let go from its Activision Blizzard and Xbox divisions. Other major tech companies, including Amazon, Meta, and Alphabet, have also implemented substantial layoffs in recent years.
Many tech companies had engaged in massive hiring sprees at the beginning of the COVID-19 pandemic before reversing course in 2022 as inflation and interest rates spiked. Several economists told USA TODAY earlier this year that the waves of layoffs across the tech sector may indicate that consumer habits have shifted since the start of the pandemic.
This is a developing story.
