Microsoft plans to reduce around 6,000 from workforce

GlobalData

Wed, May 14, 2025, 5:59 AM 1 min read

Microsoft is set to lay off approximately 3% of its global workforce, impacting around 6,000 employees across various levels, teams, and regions, reported CNBC.

The move is part of the company's broader effort to manage costs while pursuing investments in AI.

A Microsoft spokesperson was cited by the news agency as saying in a statement: “We continue to implement organisational changes necessary to best position the company for success in a dynamic marketplace.”

The company, which had 228,000 employees worldwide as of June 2024, also notified Washington state authorities that it would reduce 1,985 positions tied to its Redmond headquarters, including 1,510 office-based roles.

This development is said to be Microsoft’s largest round of layoffs since the company cut 10,000 jobs in 2023.

Earlier in 2025, the company initiated a smaller round of performance-related dismissals.

However, the latest redundancies are not tied to performance, according to a company spokesperson.

The spokesperson added that one of the aims of the restructure is to reduce layers of management within the organisation.

Microsoft has allocated $80bn in capital spending for the current fiscal year, primarily directed towards expanding data centres to address capacity limitations in delivering AI services.

Recently, Financial Times reported that Microsoft was in discussions with OpenAI to revise their multibillion-dollar partnership.

The talks are aimed at supporting a potential IPO by OpenAI while maintaining Microsoft’s access to advanced AI technologies.

The renegotiation is seen as a pivotal step for OpenAI’s internal restructuring and may significantly influence its direction within the tech sector.

"Microsoft plans to reduce around 6,000 from workforce" was originally created and published by Verdict, a GlobalData owned brand.

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