Microsoft laid off hundreds of workers in the Seattle region Monday, as job cuts topped 2,700 since the tech giant announced plans earlier this year to eliminate 10,000 positions. File photo by John Angelillo/UPI |
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March 28 (UPI) -- Microsoft laid off hundreds of workers in the Seattle region Monday as job cuts at the tech giant topped 2,700 since the company announced plans earlier this year to eliminate 10,000 positions globally.
Microsoft cut 559 workers Monday in its Redmond, Wash., headquarters and its Bellevue, Wash., offices, according to a filing with Washington's Employment Security Department. The new layoffs bring the total of Seattle area Microsoft employees impacted by the job cuts to 2,743.
The latest round of layoffs affect Microsoft's Security Compliance, Identity and Management organization, according to Insider and GeekWire. The division is led by former Amazon Web Services executive Charlie Bell.
In January, Microsoft's chief executive said the company would lay off 10,000 workers by the end of the company's fiscal third quarter, which ends in March.
Microsoft CEO Satya Nadella said the planned cuts represent only 5% of the company's 200,000 employees, saying the cuts were needed to align the company's cost structure with its revenue and where it sees customer demand.
"As we saw customers accelerate their digital spend during the pandemic, we're now seeing them optimize their digital spend to do more with less," Nadella said in January. "We're also seeing organizations in every industry and geography exercise caution, as some parts of the world are in a recession and other parts are anticipating one."
In announcing the layoffs, Nadella said Microsoft would "treat our people with dignity and respect, and act transparently."
"These decisions are difficult, but necessary. They are especially difficult because they impact people and people's lives -- our colleagues and friends," Nadella added.
Microsoft is offering its laid-off employees its "full support during these transitions," while providing 60-day notice, above-market severance pay, healthcare coverage for six months, continued vesting of stock awards for six months and career transition services.
Microsoft is among a number of tech companies that have announced layoffs as inflation and recession concerns hit consumer and corporate spending.
Amazon announced it will eliminate 18,000 positions. Salesforce will reduce its staff by 10%. And Facebook parent Meta announced 11,000 layoffs in November.
