Microsoft is reportedly preparing for another round of job cuts in January 2026, adding to the wave of layoffs that has swept through the global technology sector over the past few years.
According to estimates circulating in industry circles, the upcoming layoffs could impact between 11,000 and 22,000 employees worldwide.
While Microsoft has not yet issued an official statement confirming the numbers, sources suggest the move is part of a broader cost-cutting and restructuring effort.
The company is said to be reviewing workforce requirements across divisions as it shifts focus toward artificial intelligence, cloud services, and automation-driven efficiency.
This would mark yet another significant workforce reduction for Microsoft, which has already carried out multiple rounds of layoffs in recent years amid economic uncertainty, slowing global growth, and changing business priorities.
Like many other tech giants, the company has been reassessing hiring decisions made during the pandemic-driven boom.
Industry analysts note that the layoffs are unlikely to be limited to a single geography and could affect teams across engineering, support, sales, and middle management.
Employees working in non-core or overlapping roles are believed to be most vulnerable as the company streamlines operations.
The reported job cuts come even as Microsoft continues to invest heavily in AI-driven products and strategic partnerships.
Analysts point out that while revenue growth remains steady in key segments, companies are under pressure to improve margins and align staffing with long-term priorities.
If the estimates hold true, the January 2026 layoffs could become one of Microsoft’s largest workforce reductions in recent years, further highlighting the ongoing transformation of the global tech industry and the uncertain outlook for tech-sector employment.