Microsoft has announced another wave of job cuts, eliminating over 300 positions on Monday, as the tech giant continues its aggressive pivot toward artificial intelligence (AI) and cloud-based technologies. This comes just weeks after the company laid off approximately 6,000 employees, representing nearly 3% of its global workforce.
The latest layoffs were disclosed through a Washington state filing reviewed by Bloomberg. While Microsoft did not provide details about which specific roles were impacted, earlier cuts largely affected engineers, product developers, and mid-level managers.
These staff reductions are part of a larger organizational restructuring aimed at streamlining operations and reallocating resources to support the company’s growing investments in AI infrastructure and next-generation digital services.
During a recent town hall, Microsoft CEO Satya Nadella addressed concerns regarding the layoffs, clarifying that strategic restructuring rather than performance-related issues drove the decision. Nadella noted that while the AI revolution is opening new doors, it is also reshaping traditional roles, particularly in product development and engineering.
Amid concerns that automation and AI tools could make software developers obsolete, Microsoft’s Chief Product Officer reassured employees that the role of engineers remains essential. He emphasized that while the nature of engineering work is evolving, it continues to be foundational to Microsoft’s innovation roadmap.
Additionally, LinkedIn—Microsoft’s professional networking arm—has also been affected by the restructuring, with 270 job cuts across its Bay Area offices. These layoffs are part of the broader downsizing initiative first announced in May, which included the reduction of thousands of positions across several business units.
Microsoft’s latest moves reflect a broader shift across the tech industry, as companies adjust to a rapidly changing digital landscape. While the near-term impact may cause disruption, Microsoft appears focused on long-term competitiveness by aligning its workforce and priorities with the emerging AI frontier.