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Microsoft’s recent layoffs have affected approximately 6,000 employees, nearly 3% of its global workforce, marking the company’s second-largest job reduction in history. The layoffs impact various teams and geographies, with software engineers bearing a significant brunt, representing over 40% of the 2,000 positions eliminated in Washington state alone.
Python, TypeScript, and Azure SDK developers were among those let go, including prominent developers like Mike Droettboom, Ron Buckton, and Matt Podwysocki and Gabriela de Queiroz, Director of Artificial Intelligence for Microsoft for Startups, was also laid off, highlighting the irony of Microsoft’s AI investments alongside job cuts in the sector.
Middle management roles are expected to be significantly impacted as Microsoft aims to streamline operations and reduce management layers
Microsoft’s CEO, Satya Nadella, stated that the company is implementing organizational changes to position itself for success in a dynamic marketplace. The layoffs are part of a broader trend in the tech industry, with other giants like Amazon and Google also restructuring and prioritizing efficiency.
Affected employees will receive support, including:
– Staying on payroll for a period after termination
– Eligibility for rewards and bonuses
– Severance packages for those who opt for a Global Voluntary Separation Agreement
Despite the layoffs, Microsoft continues to invest heavily in AI, with CEO Satya Nadella revealing that AI now writes up to 30% of code in some Microsoft projects. The company aims to further integrate AI into its operations, potentially transforming the role of engineers and developers.
Gabriela de Queiroz, despite being impacted by the layoffs, maintained a positive outlook, saying, “I’m heartbroken to see so many talented people I’ve had the honor of working with being let go… But if you know me, you know I always look at the bright side. I’m an optimist at heart… To those also affected—you’re not alone. We are at least 6,000.”
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