Technology giant Microsoft is undertaking a major reorganisation in its sales and marketing units that will likely see the company cutting about 4,000 jobs from its workforce, mostly outside the U.S.
The company is implementing changes to better serve its customers and partners, a Microsoft spokesperson said in an email on Thursday.
Today, we are taking steps to notify some employees that their jobs are under consideration or that their positions will be eliminated. Like all companies, we evaluate our business on a regular basis. This can result in increased investment in some places and, from time-to-time, re-deployment in others.Microsoft Spokesperson
While the spokesperson declined to confirm any specifics, a report in the New York Times said the overhauling of technology giant led by India-born Satya Nadella will cut 3,000 to 4,000 jobs, mostly outside the U.S. The report quoted a person familiar with Microsoft's plans, who was not authorised to speak on record about them.
Microsoft added that its workers were notified on Thursday if their current job was affected. Some of the workers will get other jobs within the software company. “This is being done mainly to evolve the skill sets we need,” Frank Shaw, Microsoft spokesman, was quoted saying in the New York Times report.
Last week, Microsoft had described a realignment of its sales and marketing arm, which employs about 50,000 people worldwide. The sales and marketing changes will enable Microsoft align the right resources for the right customer at the right time, Microsoft Executive Vice President Judson Althoff wrote in an internal email last week. Microsoft is looking at an enormous $4.5 trillion market opportunity, he added.
He had identified expanding Microsoft's cloud offerings in data analysis and artificial intelligence, and helping companies in every industry to become digital businesses, using Microsoft tools as key areas of opportunity.
Microsoft has 71,000 employees in the U.S. and 1,21,000 employees around the globe.
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