Microsoft made headlines once more this month with yet another round of layoffs at its DEI team, this time due to “changing business needs”, according to reports in The Times of India and Business Insider. The IT giant stated as their reason behind these layoffs that there will no longer be anyone responsible for diversity, equity and inclusion at DEI team.
As of July 1st, Microsoft sent emails notifying employees about its layoff plans; however, exact numbers affected are unknown at this time. Microsoft’s prior commitments to diversity and inclusion has created considerable controversy within their ranks regarding this latest round of layoffs.
Impact of DEI Initiatives
Microsoft is taking significant steps toward strengthening its diversity efforts, such as making an initial pledge in 2020 to double the number of Black and African-American leaders by 2025; yet this recent layoffs cast doubt upon whether its dedication towards these diversity goals remains.
Criticism from Within
In an email sent out to thousands of Microsoft employees, the leader of the disbanded DEI team sharply criticized Microsoft’s decision and expressed disappointment and disillusionment that his/her team no longer considered core.
As reported by Business Insider, “True system change work associated with DEI programs worldwide no longer represents business critical or intelligent work as was the case back then”, wrote one team leader as reported by Business Insider.
Official Response
Jeff Jones, Microsoft spokesperson responded to criticism with an unwavering commitment to diversity and inclusion at their organization: “Our focus on diversity and inclusion remains undiminished, holding firm on expectations while prioritizing accountability while continuing this important work,” Jones stated in an exclusive statement to Business Insider.
Microsoft’s reduction of DEI staff fits within an overall trend in tech industry companies such as Zoom, Google and Meta that has seen them reduce diversity initiatives recently, raising questions as to their long-term commitment towards diversity initiatives.
Microsoft typically makes annual workforce adjustments at the beginning of its fiscal year; however, recently there have been more frequent rounds of layoffs; most significantly in 2023 when 10,000 employees were laid off; additional rounds have since followed as part of this year-to-year adjustment cycle.
Effect on Employees and Company Culture
Frequent layoffs and reduction in DEI efforts can have serious ramifications on employees and company culture as a whole, leaving workers uncertain about job security or commitment to values held dear by management. Furthermore, cutting DEI programs could impair efforts to attract and retain diverse talent needed to foster innovation and competitiveness within tech.
Microsoft’s recent round of layoffs targeting its Diversity, Equality and Inclusion team (DEI team) have generated considerable debate. Although Microsoft asserts its dedication to diversity and inclusion remains strong, recent tech industry-wide efforts at cutting DEI efforts is concerning and its effects remain to be seen on employees, company culture, and long-term diversity goals. As Microsoft navigates these changes with other tech giants like Facebook or Apple (among many others).
