Microsoft to cut 4,800 positions in global restructuring
The company announced that the cuts, which correspond to 2.1 percent of its global workforce, will primarily affect its commercial and Xbox divisions.
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Microsoft has decided to eliminate approximately 4,800 positions globally. In a note sent to employees by Amy Coleman, the company's Chief Human Resources Officer, it was stated that the decision is part of the workforce planning and restructuring process.
The note stated that the positions to be eliminated represent approximately 2.1 percent of Microsoft's global workforce. It was noted that the company is aligning its human resources, investments, and energy toward priorities that will continue to serve customers in the rapidly changing technology sector.
It was reported that the organizational changes will primarily take place in the company's "commercial" and "Xbox" divisions. Microsoft stated that different options were evaluated to reduce the need for layoffs; it added that over the past year, more than 4,000 employees, including 500 this month, have been moved into new roles in the company's highest-priority areas.
EMPHASIS ON ARTIFICIAL INTELLIGENCE
In the note sent to employees, it was emphasized that the layoffs were not made directly because of artificial intelligence. However, it was stated that artificial intelligence is changing business processes, some tasks can now be automated, and it has become important for employees to develop new skills.
I want to be clear that the positions being eliminated today are not being replaced by AI. At the same time, it is true that AI is changing the way work is done.
The note also stated that Microsoft is still at the beginning of this transformation journey. It was indicated that the company may implement similar organizational changes in other areas of operation in the coming period.