Microsoft Cuts Hundreds More Jobs Amid AI Integration and Workforce Restructuring

Latest Microsoft layoffs target engineering, product and legal roles, records show

Software engineers, product managers, technical program managers, product marketers, and legal staff were most impacted by Microsoft's latest round of layoffs. New data from the Washington state Employment Security Department, obtained by GeekWire, reveals how Microsoft is trimming its workforce -- and provides a window into how tech companies are looking to streamline headcount amid the AI boom. Microsoft is laying off 305 people in Redmond, Wash., as part of a new round of cuts that follow a separate layoff last month impacting nearly 3% of its global workforce, or about 6,000 employees. Of those 305 positions, software engineering roles were hit hardest, making up about 22% of impacted employees, or 67 workers. Other top affected disciplines include: The data mirrors similar trends in Microsoft's layoff last month, per Bloomberg, citing data from Washington state. It shows that software engineering roles are not immune to the impact from generative AI tools, which are already having a big effect on coding. Speaking at LlamaCon 2025 on April 30, Microsoft CEO Satya Nadella said that up to 30% of Microsoft's code is now AI-generated. Microsoft has not said whether AI efficiencies played a direct role in the recent layoffs. However, the company said, in general, it's seeking to help workers use new technologies to focus on the most meaningful and important tasks. Microsoft has also signaled a move to strip management layers, a strategy also touted by other tech giants including Amazon. The latest cuts in Washington state impacted a mix of individual contributor and management levels. "IC4" roles, or mid-level individual contributors, were the most affected. On Microsoft's April 30 earnings call, CFO Amy Hood said the company was focused "on building high-performing teams and increasing our agility by reducing layers with fewer managers." The new cuts also impacted 22 legal counsel positions and five paralegal roles in Washington state. Legal positions were not impacted in the layoffs last month. The latest round of cuts brings the company's total reported layoffs in its home state to nearly 2,300 in recent weeks. "We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace," the spokesperson said in an emailed statement Monday.

Microsoft Is Laying Off More Workers as AI Continues to Trim Workforces

In May, Microsoft laid off around 3% of its workforce, eliminating more than 6,000 positions. It was the largest batch of layoffs from the company since 2023, when it cut 10,000 jobs. Just a few weeks later, on Monday, Microsoft laid off 305 employees, according to documents viewed by Bloomberg. The cuts were concentrated at the company's Washington State headquarters, per the WARN notice. Related: Software Engineers Looking for Work Are Promising $10,000 or More to Anyone Who Can Help Them Land a Job "We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace," a Microsoft spokesperson said in a statement to Bloomberg and CNBC. The May layoffs mostly affected software engineers. It's unclear which departments were affected in this week's latest round. While Big Tech has been in layoff mode for years, AI is causing new headaches for people whose skills are deemed outdated. Last month, Walmart announced it would lay off 1,500 corporate workers, citing new advances in AI. Also in May, Dario Amodei, the CEO of $61.5 billion AI startup Anthropic, told Axios that within the next one to five years, AI could eliminate half of all entry-level white-collar jobs and cause unemployment to rise to 10% to 20%. Related: One of Microsoft's Most Popular Products Is About to Skyrocket in Price Meanwhile, a new report from SignalFire, a venture capital firm that monitors the job movements of over 650 million employees on LinkedIn, suggests that AI is responsible for a 25% decrease in hiring of recent graduates at big tech companies, including Meta, Microsoft, and Google. Microsoft employed approximately 228,000 full-time workers as of June 2024, but that was well before the May cuts and the latest rounds of layoffs.

Microsoft Cuts Hundreds More Jobs After Firing 6,000 Last Month

Over 300 employees were told their positions were eliminated on Monday Microsoft cut hundreds more jobs just weeks after its largest layoff in years, underscoring the tech industry's efforts to trim costs even as it plows billions of dollars into artificial intelligence. More than 300 employees were told their positions had been eliminated on Monday, according to a Washington state notice reviewed by Bloomberg. A Microsoft spokesperson said the latest headcount reduction is in addition to the 6,000 job cuts announced last month. "We continue to implement organisational changes necessary to best position the company for success in a dynamic marketplace," the spokesperson said. The Artificial Intelligence (AI) boom has roiled the tech labor market because companies are prioritising AI-focused jobs and harnessing the technology to save money. Microsoft and peers including Meta Platforms have touted the effectiveness of AI-assisted coding tools in speeding up the software development process. Last week, Salesforce said the internal use of AI has allowed it to hire fewer workers. Microsoft's previous layoffs fell hardest on software engineers. It couldn't be determined what kind of jobs were affected Monday. As of June 2024, the company had about 228,000 full-time employees, 55 percent of whom were employed in the US. © 2025 Bloomberg LP

Microsoft cuts hundreds more jobs after firing 6,000 last month

More than 300 employees were informed on Monday that their roles had been eliminated, according to a notice filed in Washington state and reviewed by Bloomberg. However, it was unclear which types of jobs were affected. Microsoft's previous rounds of redundancies had primarily impacted software engineers.Microsoft cut hundreds more jobs just weeks after its largest layoff in years, underscoring the tech industry's efforts to trim costs even as it ploughs billions of dollars into artificial intelligence. More than 300 employees were told their positions had been eliminated on Monday, according to a Washington state notice reviewed by Bloomberg. A Microsoft spokesperson said the latest headcount reduction is in addition to the 6,000 job cuts announced last month. "We continue to implement organisational changes necessary to best position the company for success in a dynamic marketplace," the spokesperson said. The artificial intelligence boom has roiled the tech labour market because companies are prioritising AI-focused jobs and harnessing the technology to save money. Microsoft and peers including Meta Platforms have touted the effectiveness of AI-assisted coding tools in speeding up the software development process. Last week, Salesforce said the internal use of AI has allowed it to hire fewer workers. Microsoft's previous layoffs fell hardest on software engineers. It couldn't be determined what kind of jobs were affected Monday. As of June 2024, the company had about 228,000 full-time employees, 55% of whom were employed in the US.

Microsoft Fires Hundreds More Workers Amid AI-Fueled Growth, Calls It Positioning The Company For 'Success' - Microsoft (NASDAQ:MSFT), Meta Platforms (NASDAQ:META)

Just weeks after announcing its largest round of layoffs in years, Microsoft Corporation MSFT has decided to eliminate hundreds of additional jobs. What Happened: On Monday, more than 300 Microsoft employees were told that their roles had been cut, reported Bloomberg, citing a Washington state notice. A Microsoft spokesperson confirmed this development to the publication, saying, "We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace." These layoffs follow the roughly 6,000 cuts Microsoft announced last month. Also Read: OpenAI's Acquisition Of Jony Ive's Startup Poses Threat To Apple's Dominance As per the report, while the specific roles affected have not been determined, previous layoffs primarily impacted software engineers. The tech giant had about 228,000 full-time employees as of June 2024, out of which 55% were based in the U.S. Why It's Important: Microsoft is currently the most valuable company in the world with a $3.43 trillion market capitalization. Latest Startup Investment Opportunities: Rad IntelDealMakerMin. Investment$1,000IndustryAIGet Offer Elf LabsDealMakerMin. Investment$974IndustryTechGet Offer The cuts come as Microsoft and other tech giants like Meta Platforms, Inc. META double down on artificial intelligence, investing billions while trimming non-AI-related headcount. Previously, Microsoft CEO Satya Nadella said that 20% to 30% of the company's code base is now being written with the help of AI. Price Action: Microsoft shares rose 0.35% during Monday's regular trading session but slipped 0.26% in after-hours trading, according to Benzinga Pro data. According to Benzinga's Edge Stock Rankings, Microsoft shows a favorable price trend across the short, medium and long term. You can explore more detailed metrics here. Photo courtesy: Tada Images / Shutterstock.coma Read More: 'Most People Don't Have The Balls To Do It,' Says Mark Cuban, Praising Musk For Going 'All In' With His Own Money For His Startups METAMeta Platforms Inc$671.553.72%Stock Score Locked: Edge Members Only Benzinga Rankings give you vital metrics on any stock - anytime. Unlock RankingsEdge RankingsMomentum88.04Growth92.83Quality83.63Value35.09Price TrendShortMediumLongOverviewMSFTMicrosoft Corp$460.750.08%Market News and Data brought to you by Benzinga APIs

Microsoft trims hundreds more jobs amid AI-focused restructuring - Bloomberg By Investing.com

Investing.com -- Microsoft Corp (NASDAQ:MSFT). has made further job cuts, according to Bloomberg, laying off hundreds of employees just weeks after its largest workforce reduction in recent years. This move highlights the tech industry's ongoing endeavor to manage costs while investing billions into artificial intelligence (AI). On Monday, over 300 employees were notified that their roles had been terminated, as per a notice examined by Bloomberg. This reduction is in addition to the 6,000 layoffs announced by Microsoft last month. A spokesperson for Microsoft confirmed the recent job cuts, explaining that these are part of the company's ongoing organizational changes aimed at positioning the firm for success in a rapidly evolving marketplace. The surge in AI has significantly impacted the tech labor market, as companies are increasingly focusing on AI-centric roles and utilizing this technology for cost-saving purposes.