Microsoft Layoffs: Microsoft also troubled by the recession, decided to lay off 10,000 employees

New Delhi. Microsoft Layoffs: The world’s largest software company Microsoft Corporation (Microsoft Corp) has decided to lay off 10,000 of its employees. The reason behind the company’s decision to lay off the employees has been attributed to the company’s dire situation.

According to Reuters, Microsoft Corp said on Wednesday (January 18, 2023) that it would cut 10,000 jobs by the end of the third quarter of the fiscal year 2023. This can be considered a sign of a boom in layoffs in the US technology sector, as companies are facing a period of economic recession. According to Bloomberg’s report, this layoff will be the biggest in Microsoft’s many rounds of layoffs so far. Microsoft said in July last year that some small jobs had been eliminated, while news site Axios reported in October that the company had laid off about 1,000 employees across various departments. The Satya Nadella-led firm is facing a post-pandemic slump in the personal computer market, leaving little demand for its Windows and accompanying software.

As of the June quarter of last year, Microsoft currently has around 2,21,000 full-time employees. Of these, about 1,22,000 work in the US, while the remaining 99,000 employees are employed in other countries of the world including India. The company had earlier fired about one thousand employees in July. At the same time, this decision of the company to lay off is indicating that the reduction in the workforce in the tech sector may continue.
Recently, Microsoft’s Chief Executive Officer Satya Nadella warned of challenges for the tech sector for two years. Nadella said that Microsoft will also have to face these challenges and tech companies need to become efficient.

At the same time, Amazon has not yet disclosed any data related to the removal of employees. But in early December 2022, a New York Times report revealed that the company could lay off around 20,000 people from around the world. It was said in the report that the tech giant is cutting its expenses amid the coming economic recession.