Microsoft to Lay Off Over 9,000 Employees in Major Workforce Reduction, Second Round in Months

The tech giant initiates another large-scale layoff affecting 4% of its global workforce amid continued efforts to streamline operations and navigate economic uncertainties.

July 2, 2025 | Seattle/New York:
Microsoft is preparing to lay off approximately 9,100 employees, or about 4% of its global workforce, in what marks the company’s second significant job purge in just a few months, according to a report by The Seattle Times. The move reflects ongoing restructuring efforts as the tech sector faces persistent economic headwinds.

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As of June 2024, Microsoft employed nearly 228,000 people globally. The company did not immediately respond to a request for comment from Reuters.

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Second Major Layoff in 2025

This wave of cuts comes just two months after Microsoft laid off around 6,000 workers in May 2025, signaling a broader recalibration of its workforce. A separate report from Bloomberg News in June had suggested the company was already planning additional cuts, particularly targeting roles in sales and go-to-market functions.

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Industry-Wide Job Cuts

Microsoft’s decision mirrors a wider trend across corporate America, where firms continue to shed jobs across various sectors to reduce costs and streamline operations. Economic uncertainties and evolving business priorities — particularly around AI integration, cloud services, and shifts in consumer demand — are driving many large firms to reassess headcount.

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Since 2023, numerous major tech players, including Amazon, Google, Meta, and Salesforce, have executed similar workforce reductions, though Microsoft’s latest round is now one of the largest layoffs in the sector for 2025.

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