I know people personally who were affected. None of them had any indication of "low performance". They received annual bonuses and positive reviews. One even asked for specific performance metrics for promotions and was given vague responses stating they were on a promotion track and to keep doing what they were doing. In the end, this is a callous layoff under the guise of "low performances" so they can justify culling thousands of people with no severance and leaving them without insurance or a high amount of earned stock set to divest again in two weeks. Answer from bestedmom on reddit.com
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Reddit
reddit.com › r/artificialinteligence › what is the real explanation behind 15,000 layoffs at microsoft?
r/ArtificialInteligence on Reddit: What is the real explanation behind 15,000 layoffs at Microsoft?
July 6, 2025 -

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?

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Reddit
reddit.com › r/layoffs › microsoft rif laid off employees' eligibility for rehire
r/Layoffs on Reddit: Microsoft RIF Laid off employees' eligibility for rehire
September 25, 2025 -

I was laid off from Microsoft in May 2025 with my employment officially ending in July 2025. My severance clearly stated that I’m eligible for rehire.

However, it seems the FY’25 Rewards were published recently (managers finalize them by June 30), and my entry shows 0 rewards, likely because I was no longer part of the rewards cycle after being laid off. Now, a recruiter told me that because of this “0 Rewards” entry, I’m showing up as not eligible for rehire, and they had to revoke my verbal offer.

I’m trying to understand if this is a system or HR error, since:

  • I had 100% rewards in FY’24,

  • My severance letter explicitly says I’m eligible for rehire, and

  • My termination was due to RIF, not performance.

EDIT: I’ve already opened a ticket with HR Assist and reached out to my former manager (no response yet).
Any advice on what else I can do to escalate or fix this?

UPDATE: HR Assist confirmed that I’m eligible for rehire and for FY’25 rewards. They also corrected the eligibility status on my profile (I received a screenshot). The recruiter verified that they can now see my eligibility but said the offer had already expired.

However, they still haven’t provided any details on how my status was changed or who updated it, despite my repeated requests and citing my right to full disclosure of all records related to my employment.

Does anyone has any recommendations for employment lawyers?

Find elsewhere
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Reddit
reddit.com › r/stocks › microsoft is cutting 3% of all workers
r/stocks on Reddit: Microsoft is cutting 3% of all workers
November 8, 2024 -

Microsoft on Tuesday said that it’s laying off 3% of employees across all levels and geographies.

“We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace,” a Microsoft spokesperson said in a statement to CNBC.

The company reported better-than-expected results and an upbeat quarterly forecast in late April.

Microsoft had 228,000 employees at the end of June, meaning that the move will affect thousands of employees.

It’s likely Microsoft’s largest round of layoffs since the elimination of 10,000 roles in 2023. In January the company announced a small round of layoffs that were performance-based. These new job cuts are not related to performance, the spokesperson said.

One objective is to reduce layers of management, the spokesperson said.

On Monday, Microsoft shares stopped trading at $449.26, the highest price so far this year. They closed at a record $467.56 last July.

Source: https://www.cnbc.com/2025/05/13/microsoft-is-cutting-3percent-of-workers-across-the-software-company.html

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Reddit
reddit.com › r/layoffs › i was part of the most recent microsoft layoffs. the company culture shifted heavily when ai became monetized.
r/Layoffs on Reddit: I was part of the most recent Microsoft layoffs. The company culture shifted heavily when AI became monetized.
August 1, 2025 -

I was in M365 Core working on the Copilot Data Platform team which basically is the infrastructure that Copilot runs and gets its data trained from.

I started in 2022 before Copilot or even ChatGPT were even a thing really and the company I started at vs the one that I ended with is like two completely different entities.

Before 2024, the growth chart for a SWE at the company was a lot more holisitic, focusing on growing through people skills, technical understanding and having my manager help me get to the next level. I managed to get to an L60 which is one off from SWE II, but right after I promoted the company shifted into this AI-driven mindset where the growth chart changed to start emphasizing performance metrics and throughput. The problem for me was that it was hard for me to find ways to actually improve these metrics because of our team was heavily DevOps focused with only a few people on my team working on features that could actually generate meaningful performance metrics.

Every single 1:1 my manager was asking me how much I was using the AI tools we have at our disposal, how many PRs I was completing a week, how many PR reviews I was doing a week, and pushing me to do talks on my experiences using AI as a developer. My manager even acknowledged that a recurring complaint from our team was the amount that we don’t get to code stuff compared to DevOps related work which cannot be factored into PR metrics.

Looking back, it is crazy that once Copilot surfaced as a CLEAR cash cow for the company, they went into overdrive into this performance-based mindset.

I’m not writing this to bash on anyone or anything because I genuinely did enjoy my time there, but I’m not gonna act like Copilot/AI hasn’t shifted the company into a less holistic version of itself. The main thing I’m sad about is that I lost like $30k of stock that was part of my signing agreement and with how these financial reports are coming out that would have been so much damn money to sit on for the next 3-5 years since Microsoft is doing incredibly well from a business standpoint with no signs of slowing down.

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Reddit
reddit.com › r/xbox › breakdown of all july 2nd 2025 xbox layoffs
r/xbox on Reddit: Breakdown of all July 2nd 2025 Xbox layoffs
July 2, 2025 -

9000 employees have been laid off across Microsoft

4th major mass lay offs at Xbox in 18 months

The Initiative closed, Perfect Dark cancelled

Rare hit with layoffs, Everwild cancelled, Banjo Kazooie and Sea of Thieves Director leaves Rare

50% of Turn 10 laid off

King and Zenimax hit with lay offs, new Zenmiax online IP cancelled

Multiple call of Duty Studios hit with lay offs

50% of Xbox user research team laid off, head of child and family saftey laid off

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Reddit
reddit.com › r/technology › tech layoffs hit 100,000+ in 2025: intel, microsoft, meta, and more slash thousands of jobs
Tech Layoffs Hit 100,000+ in 2025: Intel, Microsoft, Meta, and More Slash Thousands of Jobs : r/technology
June 2, 2025 - You can feel how you want about the reason behind the layoffs, but I don’t think people realize how much big tech over hired during COVID. I’m not going to try to change your view, but I think having the raw numbers is important to having an informed opinion. Between 2020 and 2022 just Microsoft, Google, and Meta alone hired nearly 200k employees.
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Reddit
reddit.com › r/technology › microsoft's brutal layoffs hit software engineers, product managers and its director of ai
r/technology on Reddit: Microsoft's Brutal Layoffs Hit Software Engineers, Product Managers and Its Director of AI
May 19, 2025 - What Microsoft's AI chat bot has to say abut Microsoft. ... The age of AI layoffs is already here. The reckoning is just beginning ... Companies are blaming AI for job cuts. Critics say it’s a 'good excuse' ... Accessibility Reddit, Inc. © 2025.
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Reddit
reddit.com › r/microsoft › why working at microsoft may no longer be worth it (2025)
r/microsoft on Reddit: Why Working at Microsoft May No Longer Be Worth It (2025)
February 8, 2025 -

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.

Top answer
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There's not many individual contributors that actually move the stock needle. I think that statement is a high-level statement. Probably more aimed at teams of people rather than an individual. If you can get into the company, I would highly recommend it. Yes, layoffs without severance is a relatively new idea which wasn't happening when I was there, but there was other ways to lay one off without actually firing one then. My time at msft was both the best career in my life and something less than that at others. However, I have worked much worse jobs than MSFT. The key once you get in is to find a good manager and try and stick with them. I left during the Ballmer era because upper management had an attitude towards long-term employees. They were purposely looking to get us out of the company. Luckily Nadella came along and saved the company. I'm sure it's a very different place to work now, but it still is likely the best out there.
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MS is lower comp and less benefits than other big tech in the area. In the last decade of gangbusters hiring, if you could get a better offer you'd have been crazy not to take it. Stability was never a question back then because you could line up a trio of offers for your next gig at any time. But all of big tech is a shitshow right now. Amazon enacted strict RTO (more like 5/2 hybrid 😉). Meta's Zuck is going full alt-right. Pretty much all of FAANG are laying off yearly despite historic high profits, and razing their core businesses to chase AI snake oil. Hiring processes are run by overseas contractors that make getting into the interview pipeline nearly impossible no matter your resume. At this point, if you've got an MS job, just hold on for dear life. Things are crazy out there right now, and MS is holding back the insanity better than most.
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Reddit
reddit.com › r/technology › microsoft lays off 6,000+ employees for non-performance reasons
r/technology on Reddit: Microsoft lays off 6,000+ employees for non-performance reasons
May 14, 2025 - ... “With Microsoft having around 228,000 employees at the end of June 2024 (the latest reported number), that’d mean around 6,000 to 6,800 people being let go, according to CNBC.”