Nearly all major tech firms have slowed headcount growth
Microsoft Corp. has announced layoffs across multiple divisions, according to media reports, joining many other tech firms that have cut staff in the unsettled economy.
Microsoft declined to say how many jobs had been cut, but a source told Axios that the layoffs numbered under 1,000.
In a statement to Axios, the tech giant said: “Like all companies, we evaluate our business priorities on a regular basis, and make structural adjustments accordingly. We will continue to invest in our business and hire in key growth areas in the year ahead,”.
The move is yet another example of large tech companies cutting jobs after earlier moving to slow or freeze hiring as the broader economy cools, Axios reported. Nearly all the major tech firms have slowed headcount growth, with many freezing all but essential hires. A number of companies have already moved to cut jobs, including Snap and Flipboard.
Microsoft has not said how many people had been laid off, nor which departments were impacted. However, The Washington Post reported layoffs affected the wargame simulation division and the Xbox gaming division.
Microsoft had 221,000 employees as of June 30, an increase of 40,000 people or 22% from the same point the prior year, GeekWire reported. It was the largest annual increase in employment in Microsoft’s history, based on data tracked by GeekWire.