Microsoft cuts local staff
US tech giant Microsoft has initiated another round of job cuts, sending shockwaves through its Australian workforce.
The fresh layoffs mark the company's second major staff reduction this year and come hot on the heels of a record-breaking surge in its shares.
Although the exact number of job losses remains unconfirmed, reports suggest that approximately 50 Australian staff members were affected.
This development, combined with earlier cuts, brings the total tally of local redundancies to nearly 200 in 2023 alone. Globally, reports indicate that Microsoft axed over 1,000 jobs in this latest cull.
The recent job cuts appear to have targeted roles in customer service, sales, engineering project management, and marketing.
This reduction is in line with a broader shift in the staffing approach of large tech companies.
Companies like Canva and Atlassian have also implemented stricter performance metrics and workforce restructuring.
Microsoft's financial reports reveal a mixed picture in Australia. Despite recording a fall in annual profit for the 2022 financial year, the company experienced a significant surge in local revenue, surpassing $6.3 billion.
To minimise its tax burden, Microsoft employs a complex corporate structure involving subsidiaries in Bermuda and Ireland.
This latest round of layoffs comes after Microsoft announced the global elimination of 10,000 jobs earlier in the year.
The company attributed these cuts to “macroeconomic conditions and changing customer priorities”.