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Second Major Layoff Hits Microsoft in 2024
Microsoft has launched a new round of layoffs, marking its second mass job cut in recent months. The company began sending out notices on Wednesday, confirming that thousands of employees worldwide will be affected by this restructuring move.
Although Microsoft did not release an exact number, it stated that fewer than 4% of its workforce will be impacted. With approximately 228,000 full-time employees as of June 2023, this means an estimated 9,000 job losses are expected.
Teams Affected: Xbox, Sales, and More
The layoffs span multiple divisions, including Microsoft’s Xbox gaming business and its global sales teams. Affected employees are located across various international markets. The company says this decision is part of an ongoing strategy to position itself for future growth.
“We continue to implement organizational adjustments necessary to best position the company and teams for success in a dynamic market,” Microsoft said in an official statement.
These strategic cuts suggest a shift in focus toward high-growth sectors, particularly artificial intelligence and cloud-based services.
Microsoft Layoffs Follow May and June Job Cuts
This is not the first time Microsoft has downsized in 2024. In May, it announced the termination of 6,000 jobs, amounting to about 3% of its global staff. These layoffs were the company’s largest in over two years and mostly targeted roles in software engineering and product management.
In June, Microsoft also let go of 300 employees based in Redmond, Washington, adding to the 2,000 job losses already reported in the Puget Sound region in May. These local job cuts were disclosed to Washington State employment officials.
For more updates on U.S. business changes, visit our Fast News section.
AI and Innovation Driving Change
Microsoft continues to heavily invest in artificial intelligence, including its partnership with OpenAI. As a result, departments not aligned with AI and automation strategies are being reevaluated. These layoffs appear to be a byproduct of a wider transformation within the company.
This is a broader trend in the tech industry, where companies are re-prioritizing operations to stay competitive. Visit our Tech section to follow the latest developments in innovation.
Local Impacts of a Global Decision
While the layoffs are happening globally, they have had a strong impact on local economies, particularly in Washington State, where Microsoft’s headquarters are located. Thousands of affected employees are now looking for new job opportunities in a tight labor market.
This wave of layoffs may also influence hiring trends and workplace dynamics in the broader U.S. technology sector. Stay informed by visiting our U.S. News section.
What Comes Next for Microsoft Employees?
The company has not ruled out further restructuring this year. Analysts expect additional changes as Microsoft deepens its investments in AI, cloud platforms, and next-generation computing.
Microsoft’s upcoming quarterly earnings report is expected to shed more light on its long-term staffing strategy, financial goals, and AI integration roadmap.
Summary
Microsoft’s second mass layoff in 2024 reinforces a pattern of aggressive restructuring in Big Tech. With roughly 9,000 positions eliminated, the company aims to sharpen its focus on scalable technologies and organizational agility. Affected workers across Xbox, sales, engineering, and product management now face uncertainty, while Microsoft realigns toward the future.
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