In a company blog post, Microsoft CEO Mr. Satya Nadella explained that the company is expecting an economic slowdown, especially in countries where the threat of a looming recession is most severe. Mr. Nadella stated that 10,000 employees would be laid off, representing less than 5% of the company’s global workforce overall. The sectors most affected by the layoffs have not yet been specified. For Microsoft, this has not been the first round of layoffs taking place, as the company has struggled in the past several months amid economic concerns. As a result of the announcement, Microsoft stock plunged over 1.5%.
The following source was used:
- Microsoft to Lay Off 10,000 Workers as Slowdown Hits Software Business, Wall Street Journal