Microsoft Said To Be Planning Another Round Of Layoffs, This Time Hitting 'Thousands' Of Sales Staff

Microsoft (MSFT) is reportedly preparing to lay off thousands more employees, this time primarily in sales roles, as part of its ongoing efficiency push, Bloomberg reported.

According to the report, which cited people familiar with the matter, the cuts will be communicated to staff early next month, following the close of the company's fiscal year. The reductions might go beyond the sales teams, and the timing could change.

In April, the company told employees it planned to use third-party firms to handle more software sales to small and midsize customers.

Among the Big Tech companies, Microsoft has been the most aggressive in laying off staff, which it justifies as routine reorganization amidst changing industry dynamics. After significant layoffs in 2023 and 2024, and more targeted ones since then, the company announced a reduction of 6,000 jobs last month. Those cuts were primarily aimed at product and engineering roles.

On Stocktwits, the retail sentiment for MSFT remained 'bearish' late Thursday, unchanged from the previous day, and the message count decreased by 62% over the past 24 hours.

A user said, "$MSFT looks really good here on the weekly chart and finally making new all time highs here."

Another user, who believes the stock has an upside, said: "The product moat this company has is huge and they just keep expanding in so many areas!"

The company had 228,000 workers at the end of June 2024, with 45,000 in sales and marketing, according to the report.

Microsoft stock is up 14% year to date.

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