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Microsoft Cuts Over 300 Jobs in Latest Layoff Wave

This latest round underscores its pivot to AI-driven projects through an $80 billion data center investment.

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Overview

  • A June 2 WARN filing in Washington state confirmed 305 layoffs, raising the total job losses in Microsoft’s home state to almost 2,300 in 2025.
  • Microsoft confirmed these cuts are in addition to the roughly 6,000 positions eliminated in mid-May as part of broader organizational changes to boost agility.
  • CEO Satya Nadella has said the reductions reflect a strategic realignment toward AI priorities and are not linked to employee performance.
  • Software engineering roles have borne the brunt of recent cuts as Microsoft reports AI writing up to 30% of code in some projects.
  • Layoffs.fyi data shows over 62,000 positions have been cut at 137 tech companies this year as firms streamline operations and redirect resources to AI and automation.