Global layoff spree: Microsoft, Amazon, Burberry among firms cutting thousands of jobs

Time of India

18-05-2025

In recent weeks, several multinational corporations across sectors, from technology and cybersecurity to fashion and consulting, have announced significant job cuts, impacting tens of thousands of workers globally.
These layoffs are being driven by structural overhauls, cost-cutting strategies, and a sharper focus on profitability. Together, they signal a broader industry shift toward consolidation, leaner operations, and streamlined efficiency.
Microsoft: Over 6,000 jobs slashed in structural overhaul
Microsoft is laying off approximately 3% of its global workforce, affecting over 6,000 employees across departments and regions.
The company, which had 228,000 staff as of June 2023, said that the move is aimed at streamlining operations and reducing management layers.
The cuts mark the biggest reduction since Microsoft eliminated 10,000 jobs in 2023. However, unlike earlier performance-based layoffs, these are structural, targeting middle management to widen the span of control per manager. Coders and engineering staff are expected to be largely spared, as the company continues to prioritise AI investments.
Microsoft also introduced stricter performance policies, including a two-year rehire ban for underperformers and a 'good attrition' metric to track desirable exits. Employees placed on a performance improvement plan (PIP) must choose within five days or forgo severance.
Amazon: Cuts in services and services sector
Amazon reportedly fired around 100 employees from its devices and services division, which develops hardware like Echo, Fire TV, and Ring.
The layoffs are part of an internal review to better align teams with product roadmaps and improve overall efficiency.
'As part of our ongoing work to make our teams and programs operate more efficiently, and to better align with our product roadmap, we've made the difficult decision to eliminate a small number of roles,' an Amazon spokesperson told Reuters.
CEO Andy Jassy has also been vocal about reducing bureaucracy and management layers, recently informing about a 15% increase in the ratio of individual contributors to managers.
He also stressed upon the importance of meritocracy over bureaucracy in Amazon's corporate culture, encouraging staff to do more with fewer resources.
Panasonic: 10,000 jobs to go amid structural reforms
Panasonic is cutting 10,000 jobs, 4% of its global workforce, through the fiscal year ending March 2026. Half of the cuts will be in Japan, with the rest overseas. The layoffs are aimed at restructuring unprofitable divisions, particularly in consumer electronics.
'Compared with industry peers that have already moved ahead with structural reforms, our selling, general and administrative expenses ratio remains exceptionally high,' said President Yuki Kusumi during a media briefing.
The company will also merge sales and back-office functions to reduce fixed costs and may exit or sell off underperforming segments, including its struggling TV business. Panasonic expects to take an earnings hit of 130 billion yen (~$894 million) due to the restructuring.
PwC: 1,500 US employees let go after business review
PwC has laid off about 2% of its US workforce, around 1,500 employees, mainly from its audit and tax teams, following an internal review. Many affected staff had joined only recently, and some were reportedly up for promotion before receiving layoff notices via surprise 'time-sensitive' Teams meeting invites.
'This was a difficult decision, and we made it with care, thoughtfulness and a deep awareness of its impact on our people,' PwC said in a statement, citing historically low attrition rates as a contributing factor.
The firm also plans to cut back on campus hiring but will honour offers already extended to interns. Other Big Four firms, including Deloitte and KPMG, have recently implemented similar cuts in response to slowing demand and low staff turnover.
CrowdStrike: 5% workforce cut despite strong growth
Cybersecurity firm CrowdStrike is laying off 5% of its global workforce, around 500 roles, as part of a strategic realignment despite reporting a 25% year-on-year revenue increase to $1.06 billion in the last quarter.
'While we will continue to prudently hire, primarily in customer-facing and product engineering roles, we are reducing roles in some areas of the business,' CEO George Kurtz said in a note to employees.
The company is targeting $10 billion in annual recurring revenue and plans to continue hiring in key strategic areas through 2026. It expects to incur up to $53 million in restructuring-related charges.
Burberry: 1,700 jobs cut in bid to revive brand
British luxury fashion house Burberry is laying off 1,700 employees, almost 20% of its global workforce, in a sweeping cost-saving move under new CEO Joshua Schulman.
Most cuts will affect office-based staff, and the Castleford trench coat factory will lose its night shift due to overproduction.
'Our brand metrics have all shown a significant improvement in the second half versus the first half,' Schulman told reporters, expressing cautious optimism.
The company reported better-than-expected profits of £26 million for FY25, though sales dipped 6% in the final quarter amid a sluggish luxury market. Schulman, Burberry's fourth CEO in a decade, is pivoting the brand back to its heritage products while trimming underperforming divisions and refocusing on high-margin leather goods.
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