Microsoft confirmed on Wednesday that it is laying off thousands of employees in its second major round of job cuts in recent months.
While the company did not disclose an exact number, it said the layoffs would impact fewer than 4% of its global workforce. Based on Microsoft’s headcount of 228,000 employees as of June 2024, the cuts could affect up to 9,000 people, according to the Associated Press.
The layoffs will span several global divisions, including Microsoft’s sales department and its Xbox gaming unit.
“We continue to implement organizational changes necessary to best position the company and teams for success in a dynamic marketplace,” the company said in a statement.
“Even in the best of times, we have regularly adjusted our workforce to meet the strategic demands of the business,” it added, as reported by AFP.
According to Bloomberg, Microsoft’s Stockholm-based King division, the maker of Candy Crush, is laying off about 10% of its workforce, or roughly 200 employees. Additional job cuts were also reported at other European subsidiaries, including ZeniMax.
This round of layoffs follows a previous one in May, which affected approximately 6,000 workers. That move marked Microsoft’s second-largest wave of job cuts since 2023, when the company eliminated about 10,000 positions. Both rounds of layoffs align with Microsoft’s ongoing push into artificial intelligence as it seeks to outpace competitors.
In April, Microsoft informed staff that it would begin outsourcing more of its software sales for small and mid-sized businesses to third-party vendors — part of a broader review to ensure the company’s structure supports long-term growth.
