As the technology sector faces a wave of layoffs, demand for H-1B visas, which enable U.S. companies to employ skilled foreign professionals in specialized roles, continues unabated. Microsoft, a dominant force in the industry, is reportedly set to reduce its U.S. workforce by approximately 9,000 jobs in 2025, following an earlier elimination of over 6,000 positions in May and June 2025, primarily in Washington state. Concurrently, the company has filed 14,181 Labor Condition Applications to secure H-1B visas for foreign workers in 2025, signaling a significant push to bring in international talent, particularly for roles like software engineering. Despite these workforce reductions, Microsoft’s financial performance remains exceptional, with a reported net income of roughly $26 billion and revenues exceeding $70 billion for the third quarter ending March 2025, driven by its leadership in cloud computing and AI. With a staggering $3.7 trillion market capitalization, according to FactSet, Microsoft stands as one of the world’s most financially formidable companies, raising questions about the balance between cost-cutting measures and global talent acquisition strategies amid ongoing economic and competitive pressures.
CBS — Microsoft is laying off just under 4% of its workforce in a new round of job cuts, the company said Wednesday.
The cuts will affect 9,000 workers across the company, as it continues to make moves to trim its staff.
“We continue to implement organizational changes necessary to best position the company and teams for success in a dynamic marketplace,” a Microsoft spokesperson said in a statement to CBS News.
The latest round of layoffs comes after the company slashed more than 6,000 jobs in May and June, in an effort to streamline operations. The previous job cuts were intended to flatten the organization “by reducing layers with fewer managers,” Microsoft Chief Financial Officer Amy Hood said on an April earnings call.
As of June 2024, the Redmond, Washington-based company employed roughly 228,000 people worldwide, according to company data.
Wednesday’s move jibes with the organization’s overarching goal to cut the number of managers per team. It also comes as Microsoft encourages employees to lean on new technologies and capabilities to focus on meaningful work, a company spokesperson said.
Microsoft reported net income of nearly $26 billion, and revenue of more than $70 billion, for the third quarter ending in March. It is one of the most profitable companies, with a market capitalization of $3.7 trillion, according to FactSet.
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