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Microsoft laying off nearly 3% of workforce

A bombshell from Microsoft – announcing layoffs for nearly 3 percent of its workforce, around 6,000 people.

Microsoft says the cuts will hit all levels, teams, and locations with a focus on reducing the number of managers.

Saying in a statement, “Even in the best of times, we have regularly adjusted our workforce to meet the strategic demands of the business.”

KIRO 7 spoke with dozens of Microsoft employees who declined to go on camera.

Some said they had just heard about the layoffs, others said there were rumors that cuts were on the way.

Some said they know workers who received notices Tuesday.

According to the state Employment Security Department, 1,985 local workers are affected, mostly in-office, with others virtual.

Microsoft announced a smaller round of performance-based layoffs in January.

But the latest round of cuts is Microsoft’s biggest since 10,000 workers were laid off in early 2023.

It’s believed the layoffs are linked to Microsoft focusing and investing more in AI.

Microsoft President Brad Smith recently testified about AI before a Senate committee.

“It is the foundation for this country’s technological leadership,” said Smith.

The company adding Tuesday, “We will empower employees to spend more time focusing on meaningful work by leveraging new technologies and capabilities.”

As of last June, Microsoft employed 228,000 full-time workers – around 55 percent of those workers were in the U.S.

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