January 18, 2023
Today, we are making changes that will result in the reduction of our overall workforce by 10,000 jobs
Microsoft CEO Satya Nadella announcing layoffs.
Why It Matters: Microsoft, one of the most prominent tech companies in the world, will layoff 5% of its work force. It joins several large tech companies who have recently announced significant layoffs like Amazon and Salesforce.
P.S. Amazon reportedly will begin a new round of 18,000 layoffs resulting in the “largest workforce cuts in its 28-year history.”
Bottom Line: Concerns about a possible recession increase as layoff announcement continue.
Why Now: Here’s how the CEO explains the changing economic times:
“First, as we saw customers accelerate their digital spend during the pandemic, we’re now seeing them optimize their digital spend to do more with less. We’re also seeing organizations in every industry and geography exercise caution as some parts of the world are in a recession and other parts are anticipating one. At the same time, the next major wave of computing is being born with advances in AI, as we’re turning the world’s most advanced models into a new computing platform.”
Read more of his note to the company HERE
by Jenna Lee,
