Microsoft to reportedly cut under 2.5% of workforce in latest layoffs
Roles affected include those across sales and consulting, as well as jobs at the Xbox gaming division
Published Wed, Jul 1, 2026 · 07:51 AM
MICROSOFT is planning to cut under 2.5 per cent of its workforce in the latest round of layoffs that could be announced as early as next week, Business Insider reported on Tuesday (Jun 30), citing people familiar with the matter.
The layoffs will impact thousands of roles, including sales and consulting, as well as jobs at the Xbox gaming division, the report said.
Reuters could not immediately verify the report.
Microsoft has declined to comment on the report. It had roughly 228,000 full-time employees as of Jun 30, 2025, according to an SEC filing.
The Windows maker is also considering options for its Xbox gaming unit, including a potential spin-off or restructuring as a wholly-owned subsidiary, The Information reported earlier in June.
In July 2025, Microsoft said it would lay off nearly 4 per cent of its workforce, in one of its largest layoffs in recent years.
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US companies have continued to trim headcount in recent months, with a fresh wave of layoffs across the technology, media and finance sectors as firms rein in costs, while investing heavily in artificial intelligence infrastructure. REUTERS
