According to Reuters, local time on Wednesday, Microsoft said that by the end of the third quarter of the fiscal year 2023 will lay off 10,000 employees, which is the latest sign of the acceleration of layoffs in the U.S. technology industry.
Microsoft said the layoffs and costs associated with hardware mix and other changes will result in a charge of $1.2 billion (currently about RMB 8.124 billion) in the second quarter of fiscal 2023, with a negative impact of 12 cents per share on earnings.
Microsoft CEO Satya Nadella said in a note to employees that customers want to “optimize their digital spend and do more with less” and “be cautious in recessions in some parts of the world and expected recessions in others. Be cautious when there is a recession in some parts of the world and expected recession in others”.
Microsoft said last July that it had eliminated a small number of jobs. According to Axios, Microsoft laid off less than 1,000 employees in several divisions.
Earlier that Microsoft denied plans to cut tens of thousands of jobs in its engineering and human resources departments. In an email to tech blog Gizmodo, a Microsoft spokesperson denied the claims, saying that reports of upcoming layoffs at the company were “rumors. “Like all companies, we regularly evaluate our business priorities and make structural changes accordingly,” the spokesperson said.
