
Microsoft has announced plans to eliminate approximately 9,000 jobs worldwide, marking the latest significant round of redundancies as the US technology company seeks to reduce costs.
The cuts are understood to affect less than 4 per cent of its total global workforce.
A company spokesman confirmed the move, stating: "We continue to implement organisational changes necessary to best position the company and teams for success in a dynamic marketplace."
This marks the largest reduction in staff since early 2023, when Microsoft fired 10,000 workers – nearly 5 per cent of its then-workforce – amidst a broader trend within the technology sector to scale back the rapid expansion witnessed during the pandemic era.
The latest cuts are thought to impact different teams and country operations as part of efforts to cut layers of management.
The company’s gaming business is among areas where Microsoft will “end or decrease work”, according to an internal memo.
“To position gaming for enduring success and allow us to focus on strategic growth areas, we will end or decrease work in certain areas of the business and follow Microsoft’s lead in removing layers of management to increase agility and effectiveness,” Phil Spencer, Microsoft’s chief executive of gaming, said.
The cuts come after Microsoft axed around 6,000 roles in May and some 1,000 in January.
Microsoft employed 228,000 full-time workers as of last June, the last time it reported its annual headcount. About 55% were in the US.