Microsoft lays off 300 more employees, weeks after its largest job cuts

Microsoft, which recently chopped down 6,000 job roles in recent weeks, has again announced the layoff of 300 more employees from the organisation. According to a Bloomberg report, the employees were informed that their positions had been eliminated on Monday.

Reportedly, the action has been taken as an addition to the recent 6,000 job cuts that were announced last month, to continue to implement underlying organisational changes for the successful future of the company.

Over the past five months, the company has let go of nearly 8,600 employees globally, with the most significant impact reported in software engineering roles.

The recent number of job cuts might be smaller in number, but it underlines a continuing trend that is being witnessed by the tech industry. Companies these days are reducing operational costs while investing aggressively in AI infrastructure. Microsoft itself has increased its capital spending by 53% YoY, with USD 21.4 billion allocated in Q3 FY2025 alone.

Much of this funding is going towards AI data centres and securing high-end GPUs for AI workloads. As AI capabilities are improving, companies are leaning on automation to streamline tasks previously handled by large human teams. Tools like AI-assisted coding are now handling portions of software development, reducing the need for traditional engineering roles.

The shift reflects broader changes across the sector. As AI capabilities improve, companies are leaning on automation to streamline tasks previously handled by large human teams. Tools like AI-assisted coding are now handling portions of software development, reducing the need for traditional engineering roles.

The company is in the midst of a broader restructuring as it pivots heavily toward artificial intelligence. Across the broader tech landscape, workforce reductions are becoming increasingly common. So far in 2025, more than 130 tech companies have laid off over 61,000 professionals, as firms recalibrate in the face of rapid AI-led transformation.

The latest developments signal that Microsoft’s restructuring is far from over, with continued emphasis on AI development reshaping not just product roadmaps, but also workforce strategy.