Microsoft wants to lay off more employees

Microsoft has announced the layoff of more employees. After the company cut around one percent of all jobs in July 2022, a second round of layoffs is now apparently imminent. The software and hardware manufacturer also expects the slowest sales growth in five years.

As early as July 2022, Microsoft announced that around one percent of the workforce would be laid off. At about 221,000 employees in 2022, this corresponds to a reduction of around 2,200 jobs. Now, around three months after the announcement, Microsoft has apparently initiated a second round of layoffs.

Microsoft announces second round of layoffs

As opposed to a company spokesman CNBC confirmed, the software and hardware manufacturer has initiated further layoffs. The reason for this is declining income due to falling sales of Windows licenses. The speaker added:

Like all companies, we regularly evaluate our specialists and make appropriate structural adjustments. We will continue to invest in our business in the coming year and hire employees in key growth areas.

The move comes in line with efforts by numerous tech companies to cut costs. For example, after the streaming provider Netflix had been cutting jobs for some time, companies like Intel and Meta followed suit.

Slowest revenue growth in over five years

It is unclear how many employees will be affected by the second round of layoffs at Microsoft. So far, nothing is known about the affected departments or branches. According to reports, however, there should be a maximum of 1,000 additional jobs, i.e. less than one percent of the workforce.

In July, the US group announced a drop in sales of around ten percent for the third quarter of 2022. The company plans to announce its official results on October 25th.

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