Chief Executive Satya Nadella shared news of the planned layoffs with employees in a note that was also posted to the company’s corporate blog. He said that the layoffs, which are expected to affect less than 5% of Microsoft’s MSFT total employee base, come as the company looks to “align [its] cost structure” with its revenue and with areas where the company is seeing customer demand.
Microsoft joins other technology companies big and small that have made recent moves to trim staff in the wake of pandemic-fueled hiring sprees and subsequent concerns about whether inflated employee counts align with the current economic reality. Meta Platforms Inc. META , Amazon.com Inc. AMZN and Intel Corp. INTC are among the large technology players that have announced layoffs in recent months. Others include Shopify Inc. SHOP , Peloton Interactive Inc. PTON and Coinbase Global Inc. COIN .
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