Microsoft plans to let go of thousands of sales positions as fiscal year winds down: report

Microsoft (NASDAQ:MSFT) plans to reduce its workforce by several thousand employees, with the cuts primarily aimed at its sales teams, as the fiscal year winds down, according to a report from Bloomberg.

The workforce reduction is expected to be announced early next month, after Microsoft’s fiscal year concludes at the end of June, the report said, citing people familiar with the issue. Microsoft apparently informed employees back in April that it planned to utilize third-party firms to handle some software sales to small and medium-sized businesses.

Seeking Alpha reached out to Microsoft for comment.

Last month, it was revealed that Microsoft planned to trim is employee headcount by about 3%, or roughly 6,000 employees.

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

Layoffs in the tech sector have scaled back so far in 2025, for the second year in a row, with Intel (INTC) and Microsoft reporting the largest workforce reductions. Nearly halfway into 2025, 141 tech companies have laid off a total of 62,832 employees, according to the tracker Layoffs.fyi.

Microsoft shares have increased 14% year to date.