Microsoft today has become the latest big tech company to reduce employment during times of economic uncertainty.Bloomberg Report Redmond’s company has shown that it is “reorganizing its business groups and roles” after the end of the fiscal year (June 30), despite plans to increase staff in the coming months. ..
Layoffs reportedly affected less than 1% of Microsoft’s 180,000 workforce, did not follow clear patterns regarding geography and product divisions, and touched on teams such as customer and partner solutions and consulting. increase. These occur after Microsoft delays adoption in Windows, Teams, and Office groups and then guarantees that adoption is unaffected by industry headwinds.
“Today we have eliminated a few roles. Like all companies, we regularly evaluate our business priorities and make structural adjustments accordingly,” Microsoft said. He told Bloomberg in a statement by email. “We will continue to invest in our business and increase our workforce as a whole.”
Microsoft reported strong revenues in the third quarter, with cloud revenues up 26% year-over-year to total revenues of $ 49.4 billion. However, in early June, the company revised down its earnings and earnings guidance for the fourth quarter due to the impact of currency fluctuations.
Bloomberg states that it is common for Microsoft to announce headcount reductions shortly after its July 4th vacation in the United States to make changes to the new accounting period in recent years.
Layoffs within the tech sector have accelerated in recent months as investors withdrew for fear of a recession. Start-ups, especially those in capital-intensive businesses such as deliveries, events and fintech, are at the mercy of that impact. However, as the unfavorable situation continued, there was a knock-on effect.For example, Oracle under consideration A $ 1 billion cost savings initiative that includes the temporary dismissal of thousands of people.
Beyond Microsoft and Oracle, Twitter Let go One-third of last week’s recruiting team.Tesla has been Dismissal Hundreds of employees in the past month.And in the Meta group, the manager of the company Reportedly I was told to “exit” people with poor performance. Meta, which CEO Mark Zuckerberg recognizes as being in the midst of “one of the worst recessions in recent history,” previously said he would cut the number of new engineers hired by about 30%. Was there.
Nvidia, Lyft, Snap, Uber, Spotify, Intel and Salesforce are among the other listed tech companies that have delayed adoption this spring. So far, Google, IBM and Amazon haven’t done the same.