Every article about the layoffs seems to detail the same thing: https://insider-gaming.com/microsoft-new-round-of-layoffs/

• Actual count not published

• Seems to target PMs

• Linked posts suggest they were PMs in non-core mission stuff?

• Not focused in any one geographic area

As a MSFT PM hopeful, this news wasn't fantastic.

What's the sentiment in MSFT? Does it feel like the cutting is slowing?

In 2023, Microsoft’s Chief Marketing Officer Chris Capossela made a notable statement on the company’s internal Yammer platform: “The most important lever for almost all our employees’ compensation upside is the stock price.” Below article looks into it.

Why Working at Microsoft May No Longer Be Worth It (2025)

This philosophy tied employees’ financial futures directly to Microsoft’s stock performance.
With negative one year returns, layoffs without severance is it worth to stay at microsoft.

In the wake of another round of layoffs at Microsoft, it’s time to talk about something deeper than numbers: the human cost of toxic management.

Employees aren’t just being let go — many are being driven out by a culture of psychological pressure, unrealistic expectations, and emotionally manipulative leadership.

“Growth mindset” vs. Gaslighting
What’s often sold as high-performance culture masks deeply unhealthy management practices. Deadlines are weaponized. Feedback becomes intimidation. “Accountability” means blaming the most vulnerable.

Psychological Pressure is Not Leadership
Many managers are pushing their teams to burnout under the guise of “excellence.” This isn't just poor leadership — it's emotionally abusive. Employees report sleepless nights, anxiety, and a constant fear of retaliation for speaking up.

Layoffs as a Management Tool
Layoffs are no longer a last resort. They’ve become a tool to trim “low performers” and employees targeted, envied, or resented by management.

Mental Health Matters
We must stop normalizing environments that erode psychological safety. No paycheck is worth chronic stress and emotional manipulation.

#Microsoft #Layoffs #ToxicLeadership #MentalHealth #CorporateCulture #Burnout #TechIndustry

I started with Microsoft back in October. Now I’m hearing more rumors recently of extreme budget cuts & hiring freezes for the cloud & devices BUs. Anyone have any insight on what’s going on now? Also, is this normal for Microsoft?

News Article: https://www.businessinsider.com/microsoft-layoffs-hit-security-devices-sales-gaming-2025-1

Seems to be not performance based. Meta is doing it too. Are we doing a re-run of 2023?

Microsoft is laying off employees across organizations including security, experiences and devices, sales, and gaming, according to two people familiar with the matter. A Microsoft spokesperson said the layoffs are small but did not specify a figure and unrelated to the job cuts Business Insider recently reported targeting underperforming employees across the company. One of the people familiar with the matter said employees started receiving notifications Tuesday about layoffs in Microsoft's security unit. The group is run by Charlie Bell, a former top cloud executive at Amazon, who stunned the industry when he left for Microsoft in 2021 to lead arevamped cybersecurity effort. Microsoft expanded its Secure Future Initiative last year, making security the top priority for every employee. The change followed years of security issues at Microsoft, including what the Department of Homeland Security called "a cascade of security failures" that allowed Chinese hackers to access emails from thousands of customers. The company also made security a core priority on which employees are evaluated during performance reviews. "If you're faced with the tradeoff between security and another priority, your answer is clear: Do security." Microsoft CEO Satya Nadella wrote in an email to Microsoft employees last year.

UPDATE: Based on the volume of responses, here’s a quick list of what to do if you believe your severance was wrongfully denied: • File a complaint with WA State Labor & Industries • Appeal to Microsoft’s Severance Plan Administrator • You are not alone - this is happening to others with no documented performance issues (Full details and how to are in the comments below, or message me if you need help)

I was recently laid off from Microsoft after 5 years, and like others, I didn’t get severance. No formal LITE designation or performance plan, no misconduct. Just a “performance-based” termination, even though my most recent review was strong and I received a bonus last fall.

What I’ve learned since is that Microsoft is denying severance to anyone who’s ever had the LITE box checked, even if it was removed later and performance improved. It’s not about how you’re doing now. It’s whether they can point to something in your past and use that to save money.

If this happened to you (or someone you know), you can file a complaint with Washington State’s Labor & Industries department. They’re seeing more of these and are starting to notice the pattern.

Here’s how to file: 1. Go to: https://secure.lni.wa.gov/wagecomplaint/#/ 2. Select “Willful failure to pay agreed wages” and anything else that applies to your situation 3. Say you were denied severance despite recent solid performance 4. Estimate what you were owed (Microsoft gives 1 week per 6 months of service) 5. Attach docs like your termination letter, reviews, severance policy, or appeal (if you have them)

It’s free, takes 20–30 mins, and adds to the case. If enough of us speak up, they’ll have to respond.

Happy to answer questions in the comments or DMs.

I need help understanding this article on Inc.

https://www.inc.com/jason-aten/microsofts-xbox-ceo-just-explained-why-the-company-is-laying-off-9000-people-its-not-great/91209841

Between May and now Microsoft laid off 15,000 employees, stating, mainly, that the focus now is on AI. Some skeptics I’ve been talking to are telling me that this is just an excuse, that the layoffs are simply Microsoft hiding other reasons behind “AI First”. Can this be true? Can Microsoft be, say, having revenue/financial problems and is trying to disguise those behind the “AI First” discourse?

Are they outsourcing heavily? Or is it true that AI is taking over those 15,000 jobs? The Xbox business must demand a lot and a lot of programming (as must also be the case with most of Microsoft businesses. Are those programming and software design/engineering jobs being taken over by AI?

What I can’t fathom is the possibility that there were 15,000 redundant jobs at the company and that they are now directing the money for those paychecks to pay for AI infrastructure and won’t feel the loss of thee productivity those 15,00 jobs brought to the table unless someone (or something) else is doing it.

Any Microsoft people here can explain, please?

https://www.cnbc.com/2025/07/02/microsoft-laying-off-about-9000-employees-in-latest-round-of-cuts.html

👀

• Too much hiring during Covid

• overspending on purchasing game studios

• investing into AI infrastructure with nothing in return

• reducing American workers, hiring offshore workers

• moving from personal growth model to make profit fast model

• Microsoft leadership has lost focus

I recently applied to a lot of Microsoft jobs because they’re hiring a lot, but I don’t know why they are. I’m just confused to why they are laying off dozens but then hiring dozens again. It’s like every month I hear that they laid off like 2k or more employees. Is this just a trial and error? Like what is the point? I’m just confused because I know if I get hired I should definitely prepare to see a lay off wave but, if anyone has insight that’s in Microsoft, do you guys know? And are these jobs just ghost jobs for Microsoft?

https://www.theverge.com/2024/1/25/24049050/microsoft-activision-blizzard-layoffs

Microsoft is laying off around 1,900 employees at Activision Blizzard and Xbox this week. While Microsoft is primarily laying off roles at Activision Blizzard, some Xbox and ZeniMax employees will also be impacted by the cuts.

The cuts work out to roughly 8 percent of the overall Microsoft Gaming division that stands at around 22,000 employees in total. The Verge has obtained an internal memo from Microsoft Gaming CEO Phil Spencer that confirms the layoffs:

It’s been a little over three months since the Activision, Blizzard, and King teams joined Microsoft. As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business. Together, we’ve set priorities, identified areas of overlap, and ensured that we’re all aligned on the best opportunities for growth.

As part of this process, we have made the painful decision to reduce the size of our gaming workforce by approximately 1900 roles out of the 22,000 people on our team. The Gaming Leadership Team and I are committed to navigating this process as thoughtfully as possible. The people who are directly impacted by these reductions have all played an important part in the success of Activision Blizzard, ZeniMax and the Xbox teams, and they should be proud of everything they’ve accomplished here. We are grateful for all of the creativity, passion and dedication they have brought to our games, our players and our colleagues. We will provide our full support to those who are impacted during the transition, including severance benefits informed by local employment laws. Those whose roles will be impacted will be notified, and we ask that you please treat your departing colleagues with the respect and compassion that is consistent with our values.

Looking ahead, we’ll continue to invest in areas that will grow our business and support our strategy of bringing more games to more players around the world. Although this is a difficult moment for our team, I’m as confident as ever in your ability to create and nurture the games, stories and worlds that bring players together.

Phil

FIRING…even Satya’s DP might need this banner now.

Microsoft just cut about 6,000 roles

roughly 3 % of the company (May 13)

reason? fewer managers, more builders.

the goal is to pump cash and head-count straight into AI.

what it means for us:

– margins > headcount

– titles fade, skills don’t

– layoffs ≠ failure.

sometimes life just says: reboot.today’s banner: FIRINGtomorrow: EXIT MODEsoon: REBOOTING