Microsoft, one of the world’s legendary tech companies, is once again in the headlines. In fact, the company is going to pruning about 4 per cent of its global workforce and according to the reports, it is hanging the sword of over 9,000 Microsoft employees. However, no statement has been issued by the company about the reasons behind this major pruning.
The biggest pruning after 2023
According to reports, this phase of the Microsoft Lay Off on July 2 is the biggest phase of retrenchment by the Tech Giant company since 2023. It is believed that this trimming is part of organizational change in Microsoft. At the moment, complete information about which section is going to affect the most effect of this trimming in the company, but on the basis of all the reports, it is known that rapid use of AI operated equipment like coding assistants can affect the employees associated with it.
Microsoft is focusing more on the inclusion of AI in its workflow and earlier this year, Microsoft CEO Satya Nadella made it clear how 20-30 percent of almost all the codes were prepared by artificial intelligence. Meanwhile, it was recently revealed that the use of AI has now been made mandatory in some sections of Microsoft and it has been directly linked to the performance review of the employees working in that section.
Sorting fasting from year to year
If more than 2,28,000 employees work with Microsoft around the world and talk about retrenchment, then it is increasing year to year. Talking about this year, in May 2025, Microsoft cut about 6,000 jobs and in June 300 employees were fired. Earlier in January, the company announced a performance-based cut of 1% of its employees. The biggest pruning in the company was seen in the year 2023, when 10,000 employees were fired.
However, the biggest pruning in Microsoft was done in the year 2014, while the company showed out the way out of its global workforce. This retrenchment was done after the acquisition of the device and service business of the company Dlara Nokia.
What did Microsoft spokesperson say?
According to the AFP report, it has been told by the Microsoft spokesperson that the necessary organizational changes continue to be implemented in the company and such steps are part of its regular workforce assessment. According to the Microsoft spokes, even in the best times, we have regularly adjusted our workforce to meet the strategic demands of the business.