Microsoft will cut 10,000 workers, the company confirmed on Wednesday.
The move, which will take place at the end of the third quarter, is "in response to macroeconomic conditions and changing customer priorities," according to a filing with the Securities and Exchange Commission.
Ticker Security Last Change Change % MSFT MICROSOFT CORP. 240.35 +1.12 +0.47%
Additionally, the tech giant will make "changes to our hardware portfolio, and lease consolidation to create higher density across our workspaces. Collectively these actions will result in a charge of $1.2 billion in the second quarter of our 2023 fiscal year, representing a $0.12 negative impact to diluted earnings per share."
Reports of the layoffs were reported by multiple news outlets on Tuesday.
Shares of Microsoft have fallen over 20% during the past 12 months.
In its latest annual report, the tech company said its total full-time headcount at the end of June was 221,000. Of those jobs, 122,000 were located in the U.S.
Microsoft logo is seen in Los Angeles, Calif., Nov. 7, 2017. (Reuters/Lucy Nicholson / Reuters Photos)
The new Operating System Microsoft Windows 11 is available in France since October 5 , 2021 (Photo by Daniel Pier/NurPhoto via Getty Images) (Daniel Pier/NurPhoto / Getty Images)
The potential cuts reported on Tuesday come as multiple other companies have announced layoffs in the past several months.
Ticker Security Last Change Change % META META PLATFORMS INC. 135.36 -1.62 -1.18%LYFT LYFT INC. 14.36 +0.01 +0.07%CRM SALESFORCE INC. 148.47 -1.04 -0.70%SFIX STITCH FIX INC. 4.46 -0.17 -3.67%AMZN AMAZON.COM INC. 96.05 -2.07 -2.11%
Meta Platforms, the corporate parent of Facebook, said in November its staff would be trimmed by over 11,000. About a week prior to that, ride-share company Lyft announced a 13% reduction, equating to roughly 683 employees.
More recently, financial services firm LendingClub Corporation, software company Salesforce and online styling service StitchFix indicated they are doing job cuts.
E-commerce giant Amazon is slated to start slashing its headcount by 18,000 on Wednesday.
This story, originally published on Jan. 17, 2023, has been updated.