{"id":242759,"date":"2023-01-19T11:29:11","date_gmt":"2023-01-19T10:29:11","guid":{"rendered":"https:\/\/www.withinnigeria.com\/news\/?p=242759"},"modified":"2023-01-19T11:29:11","modified_gmt":"2023-01-19T10:29:11","slug":"microsoft-to-lay-off-10000-employees","status":"publish","type":"post","link":"https:\/\/www.withinnigeria.com\/news\/2023\/01\/19\/microsoft-to-lay-off-10000-employees\/","title":{"rendered":"Microsoft to lay off 10,000 employees"},"content":{"rendered":"

Microsoft plans to lay off 10,000 employees as part of broader cost-cutting measures, the company said in a securities filings yesterday, making it the latest tech company to reduce staff because of growing economic uncertainty.<\/p>\n

Speaking before the layoff announcement at the World Economic Forum (WEF) in Davos, Switzerland<\/a>, Microsoft CEO Satya Nadella said that the company was not immune to a weaker global economy.<\/p>\n

\u201cNo one can defy gravity and gravity here is inflation-adjusted economic growth,\u201d he told WEF founder Klaus Schwab in a live streamed discussion. In a memo to staffers Wednesday, Nadella also cited changing demand for digital services years into the pandemic as well as looming recession fears. \u201cWe\u2019re living through times of significant change, and as I meet with customers and partners, a few things are clear,\u201d he wrote.<\/p>\n

\u201cFirst, as we saw customers accelerate their digital spend during the pandemic, we\u2019re now seeing them optimise their digital spend to do more with less.\u201d Microsoft had approximately 221,000 full-time employees globally as of June 30, 2022, according to a US Securities and Exchange Commission filing, with some 122,000 of those staffers based in the United States.<\/p>\n

Nadella said the job the cuts represent less than 5 per cent of the company\u2019s total workforce and the reductions will be complete by the end of its fiscal third quarter this year, which ends in March.<\/p>\n

said the company will incur a $1.2 billion charge in its second quarter related to \u201cseverance costs, changes to our hardware portfolio, and the cost of lease consolidation.\u201d \u201cThese decisions are difficult, but necessary,\u201d Nadella wrote. Multiple tech companies have made deep cuts to their workforces since the start of the year, as inflation weighs on consumer spending and rising interest rates squeeze funding. The demand for digital services during the pandemic has also waned as people return to their offline lives. Amazon announced that it plans to lay off 18,000 people and Salesforce said it is cutting 10% of its staff. Facebook parent Meta also recently announced 11,000 job cuts, the largest in the company\u2019s history. In October, Axios reported that Microsoft had laid off under 1,000 employees across several divisions.<\/p>\n

Tech CEOs, from Meta\u2019s Mark Zuckerberg to Salesforce\u2019s Marc Benioff, have blamed themselves for over-hiring early on in the pandemic and misreading how a surge in demand for their products would cool once Covid-19 restrictions eased. While the overall labor market remains tight, layoffs in the tech sector have mounted at a staggering pace. A recent report from outplacement firm Challenger, Gray & Christmas found tech layoffs were up 649 per cent in 2022 compared to the previous year, versus just a 13 per cent uptick in job cuts in the overall economy during the same period. Microsoft will announce second quarter earnings on January 24. The software company\u2019s Azure cloud computing business drove revenue growth over the three months through September, as sales in its personal computing division decreased slightly. Even as Microsoft makes significant cuts, Nadella said the company will continue to invest in \u201cstrategic areas for our future\u201d and pointed to advances in AI as \u201cthe next major wave\u201d of computing. His letter to employees comes amid rumours of a significant investment from Microsoft into OpenAI, the firm behind the AI chatbot, ChatGPT.<\/p>\n","protected":false},"excerpt":{"rendered":"

Microsoft plans to lay off 10,000 employees as part of broader cost-cutting measures, the company said in a securities filings yesterday, making it the latest tech company to reduce staff because of growing economic uncertainty. Speaking before the layoff announcement at the World Economic Forum (WEF) in Davos, Switzerland, Microsoft CEO Satya Nadella said that […]<\/p>\n","protected":false},"author":13,"featured_media":242760,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":{"source_name":"","source_url":"","via_name":"","via_url":"","override_template":"0","override":[{"template":"custom","single_blog_custom":"211693","parallax":"1","fullscreen":"1","layout":"right-sidebar","sidebar":"single-left","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"floatbottom","share_float_style":"share-monocrhome","show_share_counter":"1","show_view_counter":"1","show_featured":"1","show_post_meta":"1","show_post_author":"1","show_post_author_image":"1","show_post_date":"1","post_date_format":"default","post_date_format_custom":"Y\/m\/d","show_post_category":"1","show_post_reading_time":"0","post_reading_time_wpm":"300","show_zoom_button":"0","zoom_button_out_step":"2","zoom_button_in_step":"3","show_post_tag":"1","show_prev_next_post":"1","show_popup_post":"0","number_popup_post":"1","show_author_box":"0","show_post_related":"0","show_inline_post_related":"1"}],"override_image_size":"0","image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post":"0","trending_post_position":"meta","trending_post_label":"Trending","sponsored_post":"0","sponsored_post_label":"Sponsored 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