July 2,2025
RED FM News Desk
Microsoft has announced a second round of major layoffs in recent months, cutting thousands of jobs.
Although the company didn’t provide an exact number, it confirmed that fewer than 4% of its global workforce will be affected — which would mean up to 9,000 jobs could be lost, based on its 228,000 employees as of June 2024.
Microsoft did not answer question about how many of the layoffs impact Canadian workers but said the job cuts are happening across various teams and locations. Carmel Smyth, president of the Canadian Media Guild, said the union believes none of the 120 employees it represents at Bethesda Game Studios in Montreal — a Microsoft-owned company — will be affected. She added that the layoffs are likely centered on U.S.-based studios and called job cuts in a successful and growing industry “highly disappointing.”
Microsoft said the layoffs span multiple departments globally, including its sales division and Xbox gaming business. These job cuts reflect broader trends in the gaming industry, which has faced ongoing reductions.
A company spokesperson said via email, “We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace.”
This latest round follows layoffs of about 6,000 workers in May and another 300 in June at Microsoft’s Redmond, Washington headquarters. In 2023, Microsoft also cut 10,000 jobs — roughly 5% of its workforce.
The May layoffs mainly affected software engineering and product management roles, particularly in Microsoft offices in Washington and the San Francisco Bay Area. While the company has said the cuts aim to streamline management, the focus on engineering roles has raised concerns that Microsoft’s own AI coding tools may be reducing the need for human software developers.