Microsoft cuts jobs across geographies and teams as it enters new fiscal year
According to media reports, Microsoft has trimmed its workforce across geographies and teams as it entered a new fiscal year from July 1.
Business Insider had earlier reported that the company cuts under 1,000 jobs across its business this week.
A company spokesperson said, “Microsoft made cuts across the company as part of its annual fiscal year-end business review, its fiscal year ends June 30, and it’s common for Microsoft to restructure some of its operations in conjunction with the annual milestone.”
However, the company didn’t disclose the number of its job cuts or what kinds of positions were eliminated, or their locations.
According to, Business Insider reports that jobs have been cut in the Microsoft Azure division and the MSN.com news portal, with the latter transitioning to an AI-driven algorithmic feed.
The Seattle Times reported in May that the roughly 50 employees contracted through staffing agencies were notified “that their services would no longer be needed beyond June 30”
Late last month, Microsoft said it would close its retail stores and take a related pre-tax asset impairment charge of $450 million amid the ongoing coronavirus outbreak, According to Reuters
In 2017, the company cut thousands of jobs around the same time as it underwent a reorganization that impacted its sales and marketing teams.
Late in April, Microsoft’s third-quarter results beat Wall Street sales and profit expectations, powered by sharp demand for its Teams chat and online meeting app and Xbox gaming services as the world shifted to working from home because of the pandemic.
The company’s revenue rose 15% to $35.02 billion in the third quarter while net income rose to $10.75 billion, or $1.40 per share.
