Microsoft has announced a new round of layoffs, affecting several hundred workers in and around its Redmond headquarters. A Worker Adjustment and Retraining Notification (WARN) entry from Washington State confirms that 276 workers will be leaving their jobs at Microsoft.
Of the affected workers, 210 are office-based employees, and 66 are remote workers. The layoffs come just weeks after Microsoft’s previous fiscal year ended, leading some to believe that this is a restructuring move rather than the beginning of another wave of layoffs in the tech industry.
Many company CEOs have praised hybrid work models in recent months, claiming that in-person environments lead to better productivity and collaboration. However, the recent layoffs at Microsoft indicate a shift in their workforce strategy.
A Microsoft spokesperson stated that “organizational and workforce adjustments are a necessary and regular part of managing our business.” The company is focused on prioritizing and investing in strategic growth areas for its future and in support of its customers and partners.
While the news of layoffs may raise concerns, these job losses could be a result of lease terminations and project renewals, indicating a continuation and roundup of previous layoffs. Microsoft did not confirm the specific reasons behind these job cuts.
This comes approximately six months after the company announced mass layoffs affecting 10,000 workers. Recently, Microsoft CEO Satya Nadella faced criticism from employees after celebrating a “landmark year” with record revenues while refusing to grant workers a pay raise.
The tech industry in the Seattle, Washington area, where Microsoft and Amazon are based, has experienced several rounds of layoffs in recent months as companies adjust their workforces following global economic slowdown and uncertainty after an overhiring phase during the pandemic.