Microsoft often restructures its operations and makes strategic cuts around the end of its fiscal year — and this year looks to be no exception, despite laying off nearly 3% of its workforce in May, or about 6,000 people.
The company is preparing thousands more layoffs, this time focused on areas including sales, Bloomberg reported Wednesday, citing unnamed sources who say the job cuts are expected to be announced early next month.
Microsoft’s 2025 fiscal year ends June 30. A Microsoft spokesperson said the company had nothing to confirm regarding any additional workforce changes.
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The company had 228,000 employees as of June 2024, including 45,000 in sales and marketing, which was flat from the prior year. It’s the third-largest category behind Operations (86,000) and product research and development (81,000).
Microsoft hasn’t said whether its recent job cuts are directly tied to efficiencies from artificial intelligence, but a research report from the company earlier this week pointed to a future of smaller, AI-assisted teams across many industries.