After layoffs, new hires are now open! Microsoft offers another job opportunity, a golden time for those who understand AI.
Amidst the news of layoffs in the tech world, news of some relief has arrived. Microsoft CEO Satya Nadella has indicated that the company will resume hiring, but this time the game has changed. Only those who understand AI, know how to use it, and are adept at working with it will be able to get jobs.
Satya Nadella, speaking with investor Brad Gerstner on the BG2 podcast, said that Microsoft is now preparing to expand its workforce, but not in the old way, but in an AI-leveraged, smarter, and more productive way. Nadella said that while we will increase headcount, this growth will be driven by AI, not as before.
2.28 Lakh Employed at Microsoft
Microsoft’s current workforce is approximately 2.28 lakh, which remained roughly stable until the end of the 2025 fiscal year. The company has laid off approximately 15,000 employees over the past two years. These layoffs came as the company focused its resources on AI infrastructure, OpenAI partnerships, and Copilot tools. Now, Nadella says the company has entered a new phase where fewer people will be able to do more work with the help of AI. He described this as an unlearning and learning process, meaning employees will have to abandon their old ways of working and adopt new ones with AI.
Nadella explained with an example
Nadella cited how a Microsoft team that handles fiber networking operations automated maintenance tasks by creating AI agents, meaning fewer people, more output. He compared the AI revolution to the tech revolution of the 1980s when spreadsheets and email transformed offices. Today, AI is bringing about the same change, but at a much faster pace.
14,000 people laid off
Meanwhile, Amazon recently laid off 14,000 employees, while Microsoft is taking the opposite tack, betting on AI-first growth. According to Nadella, “The coming years are about embracing and working with AI. Real growth will only be seen when every employee multiplies their capabilities with AI.”