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Microsoft reportedly planning new round of layoffs with sales roles likely to be hit
- Microsoft is reportedly planning to lay off several thousand employees next month, with sales roles likely to be impacted.
- The job cuts are expected to occur after Microsoft's fiscal year ends on June 30 and could affect various departments, not just sales teams.
- This potential round of layoffs would be the second major one by Microsoft this year, following a prior layoff of around 6,000 employees in May.
- Microsoft has around 228,000 employees, with 45,000 in sales and marketing.
- The company's Chief Commercial Officer indicated plans to use third-party firms for software sales to small and mid-size customers, affecting in-house sellers.
- While Microsoft has not confirmed the layoffs, a spokesperson previously mentioned the evolution of the sales organization to align with the AI era.
- Other tech companies like Autodesk, Google, Meta Platforms, Intel, and CrowdStrike have also announced job cuts this year amid AI's impact on various sectors.
- Amazon's CEO anticipates a smaller workforce in the future due to increased AI automation, with tasks shifting to generative AI tools and AI agents.
- AI advancements are expected to lead to job redundancies in companies, requiring workforce adjustments across different industries.
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