Microsoft-Owned LinkedIn Lays Off 281 Employees Across California Amid Wider Tech Cuts

Microsoft has continued its pattern of workforce reductions in 2025, recently laying off hundreds of employees at LinkedIn, its professional networking platform. According to multiple filings, 281 LinkedIn workers, primarily engineers, product managers, and designers, were notified of their layoffs across various California locations, including Mountain View, San Francisco, Sunnyvale, and Carpinteria. These cuts are part of Microsoft's broader announcement earlier in May to reduce its global workforce by around 6,000 employees, representing just under 3% of its staff, aiming to streamline operations amid shifting business priorities and increased investments in artificial intelligence (AI). The layoffs at LinkedIn follow previous rounds in 2023 and reflect industry-wide trends where AI adoption has allowed companies to reduce headcount, especially in engineering and content moderation roles, as seen at other major tech firms like Google, Meta, and Salesforce. Despite Microsoft's robust quarterly profits and substantial shareholder returns, the company is trimming costs to reallocate resources towards AI development, leading to workforce realignments across its divisions, including LinkedIn, Xbox, and security teams. This ongoing restructuring underscores the tech sector's challenge in balancing innovation investments with operational efficiencies during a transformative period driven by AI advancements.