Microsoft will lay off 1,985 employees in Washington state starting July 12, including 475 remote workers, according to a WARN notice. It’s the largest local cut since 2023.

Microsoft is about to trim its worldwide workforce by 3%, CNBC reports. The company had around 228,000 employees worldwide as of June, it says, meaning

Microsoft is reportedly laying off about 3% of its entire workforce. Multiple outlets, including CNBC and The Verge, reported the news May 13. USA TODAY has reached out to Microsoft for comment.

Nearly 50% of the employee layoffs at Microsoft’s Washington office affected staff in software engineering roles, as the company has started to rely more on

The move is part of Microsoft’s broader efforts to streamline operations, reduce management layers, and enhance agility in a rapidly shifting technology and business landscape. The company has increasingly pivoted toward AI integration and productivity-focused tools,

Microsoft is cutting roughly 3% of its global workforce as the company shifts more resources toward the race to develop advanced artificial intelligence, the company confirmed on Tuesday.

Microsoft began laying off nearly 3% of its entire workforce Tuesday, its largest mass layoff in more than two years.

Layoffs are increasing stress and anxiety. Job loss impacts mental health. It affects families and relationships. People need support and understanding. Companies should provide better offboarding. They must offer mental health resources.