Microsoft joins other tech companies in hiring slowdown
Multinational technology corporation Microsoft announced that they would be slowing down on hiring new employees given the current economic conditions.
In a statement to CNBC, a Microsoft spokesperson said that they will continue “to grow headcount in the year ahead” while adding an additional focus on where those new recruits should go.
With inflation at a four-decade high and fears of a recession on the horizon, companies are getting more conservative. Microsoft is the latest firm to declare a hiring slowdown, following its tech counterparts Alphabet, Meta, and Apple.
Microsoft shares declined 1% in extended trading after an initial report from Bloomberg, which said the software company was getting rid of job listings.
While Microsoft sells software for corporations, schools, and governments, parts of the business could be more exposed to a slowdown. Those areas include LinkedIn, the Xbox gaming unit, and advertising.
Microsoft declined to specify which divisions would be slowing the pace of hiring. The company lowered its quarterly earnings guidance in June but attributed the move to changing exchange rates.
