Microsoft Planning to Cut Thousands of Jobs

About a week ago, Microsoft internally announced its most recent sales reorganization plan. Now, the company made another announcement and it’s planning to lay off a few thousand employees. This is a necessary move in the light of this reorganization process. According to some officials from the tech company, on July 6 they began announcing the employees about whose jobs they are giving up on. A source with knowledge about the company claimed that the plan is to lay off some thousands of jobs. Another report said that Microsoft will lay off about 3.000 of them. However, nothing is certain at the moment.

Laying off thousands of jobs

Rumor has it that for some employees, this situation will not be as dramatic as it sounds. Microsoft is supposedly planning to reassign many of those people left jobless to other positions. At the moment, nobody knows what specific groups in the company will bite the dust. However, considering the fact that this recent reorganization plan is concerning the sales at the tech giant, most of those cuts will probably be from the sales and marketing departments. Still, it’s very interesting that according to rumors, Microsoft is not doing this to reduce the costs at the company. The plan is to develop a more technical approach and to revamp a big part of the sales roles. This might be true especially considering that the company is currently focusing on making the digital transformation concept more mainstream.

In 2016, about 50.000 of employees at the company were coming from the sales and marketing areas. So, the action Microsoft is planning will indeed be pretty drastic. However, this is not the biggest such event at the tech giant. For example, back in 2014, they announced they were planning to get rid of about 18.000 jobs in a year’s time.

A new sales reorganization project

Also, just this past year, the company announced another wave of layoffs consisting of 2.850 jobs, most of them in sales. It’s something normal for Microsoft to announce some drastic changes at the beginning of a new fiscal year. This time, those changes have to do with a sales reorganization and they focus on digital transformation. This situation comes after in January, they announced some other changes which had to do with the organizational part of the sales area.

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