An American multinational technology corporation, Microsoft has laid off nearly 1,000 people in a fresh round of layoffs.
This is the third round of layoffs at the Big Tech firm since July. It is excepted that the layoffs will be across multiple divisions as the revenue of the company is expected to slow down in the coming months.
However, Microsoft declined to comment on the exact number of jobs being cut, but it is expected that the layoffs will be under 1,000.
Microsoft had fired nearly 1% of its 180,000-strong workforce across offices and product divisions in July as part of a ‘realignment’.
“Today we had a small number of role eliminations. Like all companies, we evaluate our business priorities regularly, and make structural adjustments accordingly,” Microsoft said in a statement.
After the July layoffs, the company fired another 200 employees from one of its customer-focused R&D projects in August.
The recent spate of layoffs comes due to a tightening global environment and has created a fear of a recession among the employees.
Earlier, HCL Technologies laid off 350 employees globally who were working on its client Microsoft’s news-related products. The layoffs have affected the employees who were working on its client Microsoft’s news-related products due to tough global market conditions.
Apart from Microsoft, there are many leading IT companies that either laid off employees or froze new hiring including Snap, Twitter, TikTok, Meta, HCL Technologies, and Google.
IT companies are already seeing margin pressure due to inflation and impending recession in markets like the US and Europe, the biggest markets for the sector.
The development of either layoff or hiring slowdown comes after IT companies, crypto exchanges, and financial firms cut out jobs and slow down the hiring process due to slow global economic growth caused by higher interest rates, and rising inflation.