After sacking 15000 employees, IT giant Microsoft sends strong message to remaining employees, says….

Layoffs Continue at Microsoft
In a year marked by sweeping layoffs across the tech industry, Microsoft has joined the trend with more than 15,000 job cuts in 2025 alone. With no fewer than four significant layoff rounds so far, the most recent impacted approximately 9,000 employees including roles in the Xbox gaming division and sales teams. Previous rounds included around 6,000 layoffs in May and several hundred in June. These reductions come amid broader organizational changes as the company pivots towards a more AI-centric future.
A New Direction: AI at the Core
Amid the job cuts, Microsoft is sending a strong and strategic message to its remaining employees: “Invest in your own AI skilling.” This message was communicated internally and highlights a shift in the company’s expectations for its workforce. The tech giant is urging employees to enhance their capabilities in artificial intelligence, signaling that proficiency in AI will be a key performance indicator going forward.
AI Use No Longer Optional
Julia Liuson, President of Microsoft’s Developer Division, recently addressed this transformation in an internal email obtained by Business Insider. She emphasized that “using AI is no longer optional it’s core to every role and every level.” Managers are now being encouraged to evaluate how team members leverage AI tools when reviewing overall performance and contributions.
AI Integration into Performance Reviews
According to sources familiar with the situation, Microsoft is exploring formal metrics that could track an employee’s use of internal AI tools as part of performance assessments for the next fiscal year. This move underscores the company’s push to fully embed AI into its everyday workflows and performance culture.
Sales Model Restructuring
Many of the layoffs at Microsoft have affected traditional sales roles. The company is replacing these positions with more technical "solutions engineers" who can showcase AI tools directly to clients. This reflects Microsoft’s strategy to not just adopt AI internally but also make it central to how they engage with and serve customers.
Conclusion
Microsoft’s latest internal messaging makes it clear that the future of its workforce lies in artificial intelligence. As the company continues to restructure and redefine roles, employees are being urged to take ownership of their skill development especially in AI. For those who remain, adapting to this new AI-first approach may be the key to long-term career survival and success at Microsoft.