Microsoft cutting 10,000 workers as tech layoffs mount
Microsoft cited macroeconomic conditions for the layoffs
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Microsoft will cut 10,000 workers, the company confirmed on Wednesday.
The move, which will take place at the end of the third quarter, is "in response to macroeconomic conditions and changing customer priorities," according to a filing with the Securities and Exchange Commission.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| MSFT | MICROSOFT CORP. | 430.98 | +7.52 | +1.78% |
Additionally, the tech giant will make "changes to our hardware portfolio, and lease consolidation to create higher density across our workspaces. Collectively these actions will result in a charge of $1.2 billion in the second quarter of our 2023 fiscal year, representing a $0.12 negative impact to diluted earnings per share."
Microsoft
Reports of the layoffs were reported by multiple news outlets on Tuesday.
Shares of Microsoft have fallen over 20% during the past 12 months.
OVER 25,000 GLOBAL TECH WORKERS LAID OFF SINCE START OF 2023
In its latest annual report, the tech company said its total full-time headcount at the end of June was 221,000. Of those jobs, 122,000 were located in the U.S.
Microsoft logo is seen in Los Angeles, Calif., Nov. 7, 2017. (Reuters/Lucy Nicholson / Reuters Photos)
Microsoft laid off workers in 2022, including some in October that reportedly impacted fewer than 1,000 workers and others in July that the company said affected a "small number."
The new Operating System Microsoft Windows 11 is available in France since October 5 , 2021 (Photo by Daniel Pier/NurPhoto via Getty Images) (Daniel Pier/NurPhoto / Getty Images)
LENDINGCLUB SLASHING HEADCOUNT BY 225
The potential cuts reported on Tuesday come as multiple other companies have announced layoffs in the past several months.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| META | META PLATFORMS INC. | 574.32 | +5.12 | +0.90% |
| LYFT | LYFT INC. | 17.36 | +0.18 | +1.05% |
| CRM | SALESFORCE INC. | 329.99 | -0.02 | -0.01% |
| SFIX | STITCH FIX INC. | 4.76 | +0.10 | +2.15% |
| AMZN | AMAZON.COM INC. | 207.89 | +2.15 | +1.05% |
Meta Platforms, the corporate parent of Facebook, said in November its staff would be trimmed by over 11,000. About a week prior to that, ride-share company Lyft announced a 13% reduction, equating to roughly 683 employees.
SALESFORCE TO LAYOFF 10% OF WORKFORCE TO CUT COSTS AMID ECONOMIC DOWNTURN
More recently, financial services firm LendingClub Corporation, software company Salesforce and online styling service StitchFix indicated they are doing job cuts.
E-commerce giant Amazon is slated to start slashing its headcount by 18,000 on Wednesday.
This story, originally published on Jan. 17, 2023, has been updated.