Microsoft Portugal Announces Second Round of Layoffs Affecting 68 Employees

Microsoft Portugal Implements Further Staff Reductions

Microsoft Portugal has announced a new round of layoffs, affecting 68 employees. This marks the second significant staff reduction for the Portuguese subsidiary this year, with the process reportedly commencing several months ago. The news comes as part of broader global organizational changes being implemented by the technology giant.

Affected Roles and Company Statement

The current layoffs at Microsoft Portugal primarily impact roles including customer account managers, cloud solution architects specializing in cloud solutions for businesses, and members of FastTrack teams, which assist customers in implementing and maximizing Microsoft solutions.

When contacted, the recently established Microsoft Portugal Workers' Commission (CT) referred inquiries to the company, citing a confidentiality agreement. An official source from the multinational reiterated Microsoft's global stance, stating that the company is 'implementing necessary organizational changes to better position the company for success in a dynamic market.' This statement has been consistently provided by Microsoft for several months.

Context of Global Restructuring

These layoffs in Portugal are aligned with a series of global workforce reductions undertaken by Microsoft throughout the year, impacting thousands of employees worldwide. The most recent major global round of departures was announced in early July, affecting various teams, including sales and the Xbox video game division. While Microsoft did not specify the exact number of employees affected globally in July, it indicated that the cuts represented less than 4% of its workforce from a year prior. Based on data from June of the previous year, when Microsoft employed approximately 228,000 full-time workers, this reduction could have impacted up to 9,000 individuals.

These ongoing adjustments are attributed to the company's efforts to streamline its structure following substantial investments and hiring during the pandemic years. Microsoft has also faced pressure to control costs amidst significant spending on data centers that power its artificial intelligence and cloud computing services.

Previous Organizational Changes

Earlier this year, effective July 1st, Microsoft Portugal underwent a significant organizational change, losing its autonomy and becoming integrated into a larger Southern Europe cluster within the EMEA region. This restructuring was part of Microsoft's 2026 global strategy, aimed at streamlining operations and accelerating growth, particularly in the burgeoning artificial intelligence sector.