Microsoft Cites “New Technologies” as Reason for Job Cuts

Wed May 14 2025
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Key points

  • Microsoft did not disclose total number of lost jobs
  • We continue to implement organisational changes: Microsoft
  • Microsoft to celebrate its 50th anniversary this year

SAN FRANCISCO, United States: Microsoft on Tuesday said it was slashing unnecessary layers of management and seizing the benefits of new technology, as reports said the tech behemoth was laying off thousands of workers.

The AI-focused tech giant did not disclose the total number of lost jobs, but US media reports said it will amount to about 6,000 people or about three per cent of its global workforce, according to AFP.

That included 1,985 workers in its home state of Washington, according to a filing posted on the state’s labour affairs agency. Microsoft had 228,000 employees worldwide at the end of June.

“We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace,” a Microsoft spokesperson said in an emailed statement.

Empowering employees

The company, which is advancing in its plans of deploying AI across all its products, also said it was in the process of “empowering employees to spend more time focusing on meaningful work by leveraging new technologies and capabilities.”

Microsoft, two weeks ago, posted robust quarterly results for the January to March period, powered by a strong performance in its cloud computing and artificial intelligence businesses, according to CNBC.

The company, which celebrates its 50th anniversary this year, was one of the first tech giants to double down on artificial intelligence when the launch of ChatGPT in 2022 rocked the tech industry.

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