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Microsoft Employees Protest Layoffs: 'We Used to Not Lay Off, Now We Lay Off Annually'

Some Xbox employees have protested Microsoft's large-scale layoffs, citing a drastic shift in company culture since the acquisition. The company plans to eliminate approximately 3,200 positions.

22 August 2026
Microsoft Employees Protest Layoffs: 'We Used to Not Lay Off, Now We Lay Off Annually'
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Employees within Microsoft's Xbox division have held rallies in the United States and Canada protesting the company's extensive layoffs. The demonstration, titled "Save Our Developers," was organized by Bethesda employees and the Communications Workers of America.

The protests are in response to Microsoft's plan to eliminate approximately 3,200 positions. Around 1,600 of these layoffs have already been completed, with the remainder expected to occur by mid-2027. The reductions affect various sectors within Microsoft's gaming operations.

Alex Nguyen, a senior character artist at Bethesda, described a significant shift in the corporate culture following Microsoft's acquisition. He stated that prior to the acquisition, employees had long tenures and anticipated long-term careers, with many expecting to retire from the company. "We used to not lay off people, now... we lay off annually," Nguyen said.

Nguyen further noted that the employee turnover has resulted in a detrimental loss of knowledge and experience. He explained that even the departure of a few developers necessitates the remaining team members re-learning development knowledge, impacting project continuity and team morale.

Original source: ithome.com