After laying off 6,000 employees last month, Microsoft cuts hundreds more positions! Microsoft further highlights the dilemma of "AI replacing employees."

According to Zhitong Finance APP, just weeks after experiencing the largest round of layoffs in recent years, Microsoft (MSFT.US) has again cut hundreds of jobs this week, highlighting the industry's reality where tech giants are investing billions of dollars in artificial intelligence while still striving to reduce costs.

Documents from the Washington state government reviewed by Bloomberg show that over 300 Microsoft employees were informed on Monday that their positions had been eliminated. A Microsoft spokesperson confirmed that the latest layoffs are additional adjustments beyond the previously announced plan to cut 6,000 jobs last month. The spokesperson stated, "We will continue to implement necessary organizational changes to ensure the company maintains a competitive advantage in a dynamic market environment."

The explosive development of artificial intelligence is severely impacting the labor market in the tech industry. Companies are prioritizing the hiring of talent in the AI field while also utilizing AI technology itself to optimize labor costs.

Last month's layoffs at Microsoft were primarily focused on software engineering positions, while the specific types of positions affected in this week's layoffs have not yet been disclosed.

In mid-May, Microsoft announced it would reduce its global workforce by less than 3%, affecting about 6,000 employees, with software positions accounting for approximately 40%. As of June 2024, Microsoft has about 228,000 full-time employees worldwide, with 55% based in the United States.

The driving force behind these layoffs is the company's internal AI automation strategy, as indicated by six current and laid-off employees, who stated that executives have hinted at this necessity for months while emphasizing the need to enhance automation.

With rising AI costs, programmers have become the hardest hit by layoffs. Microsoft and its peers (such as Meta Platforms (META.US)) have repeatedly touted the effectiveness of AI-assisted programming tools in accelerating the software development process. Last week, Salesforce (CRM.US) also publicly stated that the AI tools introduced internally have allowed it to reduce hiring.

Not only Microsoft, but the entire U.S. tech industry is witnessing a trend of "AI replacing employees." This year, several other tech companies have also announced layoff plans. In January, Meta stated it plans to lay off about 5% of its workforce based on employee performance while hiring new employees to fill related vacancies