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Microsoft Lays Off 9,000 More Employees, Total Job Cuts Over 15,000

Microsoft Lays Off 9,000 More Employees, Total Job Cuts Over 15,000

Microsoft is making headlines once again as it announces another round of layoffs, this time cutting 9,000 jobs globally, which represents less than 4 percent of its total workforce. This fresh wave of job cuts, coming just a month after the company let go of 6,000 employees, brings the total number of job reductions to over 15,000 since May. The tech giant stated that the layoffs are part of ongoing organizational changes, aimed at positioning the company for long-term success in a rapidly changing market.

Microsoft clarified that the restructuring also impacted its gaming division, although the majority of staff in this unit remained unaffected. Phil Spencer, CEO of Microsoft Gaming, mentioned in a memo to employees that the company would reduce or eliminate certain business areas to allow for more strategic focus and growth. Spencer highlighted the company's efforts to remove management layers to increase agility and improve effectiveness.

While Microsoft frames these layoffs as part of its restructuring efforts, there is a growing belief that the rise of AI automation is a key driver behind the job cuts. The rapid expansion of AI in the tech sector has led to a shift in how companies operate, with automation increasingly replacing traditional roles. Microsoft’s decision to trim its workforce began earlier this year, with the company first letting go of a small percentage of employees in January, followed by larger cuts in May and June.

In addition to Microsoft, other major tech companies, such as Meta, Alphabet, and Amazon, have also implemented significant layoffs as part of their strategies to adapt to AI-driven growth. These job reductions come as AI continues to reshape industries, raising questions about the future of jobs in the tech sector. Despite the company's claims that these cuts are part of a larger plan for strategic growth, many see AI automation as a driving factor behind the ongoing workforce reductions.

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