According to reports, Microsoft is prepared to focus on performance and is preparing to reduce employment. According to Business Insider, it is evident that the organisation has made the decision to take poor performance seriously.
In 2023 and 2024, the corporation laid off roughly 10,000 and 4,000 employees, respectively. The gaming division suffered the most in the earlier rounds due to its poor performance. The amount of positions that would be eliminated has not been formally announced this time.
As part of a reorganisation effort following its $68.7 billion acquisition of Activision Blizzard, Microsoft lay off over 650 Xbox team members in September. Employees were informed in an official memo at the time that marketing, human resources, and other corporate and supporting departments would be impacted by the layoffs. The game development teams and studios would remain unaffected. The September layoffs followed Microsoft’s previous 1,900 layoffs from Activision Blizzard and Xbox, as well as the closure of four studios it had acquired in May.
It is important to note that Microsoft is said to have made significant investments in artificial intelligence. Microsoft currently employs roughly 2.28 lakh people.
According to reports, Microsoft has made the decision to tighten performance reviews. This implies that workers who don’t meet expectations might not be readily fired.
At Microsoft, firing employees based on their performance is not unusual. Additionally, the corporation has filled the vacancies whenever it has done so in the past.
