Get all your news in one place.
100’s of premium titles.
One app.
Start reading

Microsoft is laying off 10,000 employees

Microsoft notified employees on Wednesday it will cut 10,000 workers, or less than 5% of its workforce, as it joins other large tech firms in paring staff after years of growth.

Why it matters: Each of these big tech workforce reductions, themselves a response to a softening economy, puts further pressure on the rest of the industry to cut costs.


Details:

  • The cuts will be made before the end of its fiscal third quarter, with some employees being notified immediately, according to a memo from CEO Satya Nadella.
  • It is taking a $1.2 billion charge to cover severance and other costs, which will include "changes to our hardware portfolio."
  • Microsoft says it will continue to hire in key areas.

The big picture: Microsoft joins a growing list of large tech firms that have recently cut staff, a roster that includes Amazon, Meta, Salesforce, Twitter and Snap, among others.

What they're saying: "These are the kinds of hard choices we have made throughout our 47-year history to remain a consequential company in this industry that is unforgiving to anyone who doesn't adapt to platform shifts," Nadella told employees.

Go deeper:

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.