Microsoft announces plans to let thousands of staff members go throughout 2023

Satya Nadella's latest Microsoft Corporate Blog post outlines some new ways in which the company will adapt through these "times of significant change", including taking customer demand into account and further investment "in strategic areas for our future".

Then again, Microsoft will also do this by carrying out a number of layoffs in 2023. Nadella maintains that the terminations will represent about 5% of its workforce worldwide, although this figure still equates to 10,000 staff members that will lose their jobs by the end of the OEM's third fiscal quarter this year (3FQ2023).

The Redmond giant has yet to confirm the number or location of its various centers worldwide to be affected by this new move; however, 900 employees in the Seattle area have already been informed that they will be laid off in mid-March.

There may be a silver lining, however, in that Microsoft has stated that it will help conserve the "dignity" of these former workers during an immediate future that, as it acknowledges, they may find "difficult".

Some staff who have or will lose their positions will be eligible for the company's new panel of benefits, including the retention of their current healthcare coverage for 6 months and "career transition services", as well as an "above-market" severance package projected to cost Microsoft as much as US$1.2 billion even as it aims to "align our cost structure" in 2023.

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