Labor

NBC News -  The U.S. added 147,000 jobs in June, soundly beating estimates and offering a much-needed sign that the economy remains in relatively solid shape. The strong jobs report offers a counterpoint to commentary from U.S. companies and other data points that have been painting a worrisome portrait of the economy.

Shortlysts -  Microsoft announced plans to lay off 9,000 employees worldwide in a move that will affect nearly 4% of the tech giant’s workforce. ‘We continue to implement organizational changes necessary to best position the company and teams for success in a dynamic marketplace,’ a Microsoft spokesperson said in an email. 

The layoffs are a continuation of a year-long trend for Microsoft. Microsoft cut 6,000 jobs in May and then 300 more in June. In 2023, Microsoft laid off an estimated 10,000 workers. The firm currently employs 228,000 people.  Though Microsoft spokesmen have stated the move is intended to reduce the number of middle managers in the company. The cutbacks raise the question of whether or not at least one of the major tech giants has already begun to replace its human workforce with artificial intelligence.

There is some circumstantial evidence to support the idea that Microsoft is trimming its human workforce due to AI programs. For example, Microsoft’s AI product for coding and software development, known as Github Copilot, currently has 15 million users, and several Microsoft executives have made public statements praising the program’s efficiency and effectiveness.