Microsoft Portugal admits “organizational adjustments” at the company, classifying it as a “normal part” of the business, but does not advance on numbers, noting that “the cuts affect more than one team,” the tech said Monday .
The Portuguese subsidiary will continue processes for the departure of technology workers, pointing to 112, following an internal restructuring, but, questioned by Lusa, Microsoft does not confirm the number of areas affected, according to the Observador newspaper.
“Organizational adjustments are a regular, necessary part of our business,” the tech said in a note sent to editors.
“We will continue to prioritize and invest in strategic growth areas for our future, providing support and assistance to our customers and partners,” adds the Portuguese subsidiary, pointing out that “the cuts affect more than one team, with different functions and levels of seniority”.
Currently, Microsoft Portugal has more than 1,500 employees in Portugal. At the end of December 2021, according to subsidiary data, the technology company had more than 1,400 professionals.
Andrés Ortolá has been general manager of Microsoft Portugal for over a year, having assumed his current duties on January 1, 2022, replacing Paula Panarra in the position.
Portugal remains Microsoft’s second-largest subsidiary for the Western Europe region, according to the company.
On January 18, the North American group announced the layoff of approximately 10,000 employees by the end of March, justifying the decision with the economic situation and changes in customer priorities.
This cut corresponded to just under 5% of technology staff also announcing at the time that they would change their computing equipment and reduce workspace.
These measures will have a US$1.2 billion (approximately €1.1 billion) charge on the second quarter accounts.
Microsoft’s profit rose 9% year-over-year in the first quarter to $18.3 billion (€16.7 billion).
Revenues reached US$52.9 billion (€48.2 billion) through March, 7% higher than results achieved in the same period of 2022.
The quarter was an impetus for Microsoft to capitalize on Artificial Intelligence (AI) investments and enter into a partnership with OpenAI, maker of ChatGPT available on the Bing search engine.
Turnover in the personal computers business area, which revolves around the Windows operating system, fell by 9% to 13.3 billion dollars (12.1 billion euros), but was offset by a 16% increase in the business segment in the ‘ cloud’, which made 22.1 billion dollars (20.1 billion euros) in the quarter.
Source: DN
