July 2025 marked one of the largest layoffs in the global technology industry with more than 24,000 people losing their jobs in less than 30 days.
Among them, leading names such as Microsoft, Intel and Tata Consultancy Services (TCS) are the leading companies in cutting labor strongly, amid the context of AI taking power and restructuring strategies being promoted.
Microsoft: Deep cut to restructure
Opening the door for the elimination streak is Microsoft, when announcing plans to cut nearly 4% of global workforce in the first week of fiscal year 2026.
The affected locations are spread across groups and geography. This is Microsoft's largest personnel cut since 2023, when the company laid off more than 10,000 employees. From January to June this year, Microsoft has made many cuts with a total of more than 6,300 people, aiming to streamline the management apparatus and increase organizational flexibility.
TCS: Controversial "adultery" policy
Tata Consultancy Services (TCS), a leading technology company in India, also shocked when it announced a 2% cut in its global workforce, equivalent to more than 12,000 people.
This occurred in the context that TCS is facing fierce criticism surrounding the new "adultery" policy, according to which employees are not assigned to any project and are only allowed to wait for a maximum of 35 days.
If they cannot find a project during this time, they are at risk of being forced to quit their jobs, leading to concerns about internal job pressure and instability in the working environment.
TCS said that this move is part of a strategy to build a ready-to- future organization, focusing on large-scale AI deployment and restructuring the human resource model.
Intel: narrow to accelerate with AI
Intel, a US-based semiconductor giant, is no exception. The airline announced the lay off of more than 5,000 employees in four states, focusing on California and Oregon.
Some reports say the dismissal has extended to branches in Israel. CEO Lip-Bu Tan affirmed that Intel is pursuing a strategy to become a more compact, faster and more efficient company, prioritizing core products for the AI era.
AI: New Causes and Trends
The strong rise of artificial intelligence is reshaping the way companies operate, while accelerating the trend of replacing labor with automation and an organizational optimization model.
Companies such as Indeed and Glassdoor also lay off more than 1,300 employees in July to focus on developing AI products.
Indeed CEO Hiyasuki Deko Idekoba emphasized that AI is completely changing the user experience and needs to adapt to keep up with the times.
With unprecedented speed of technological innovation, the salary wave in July 2025 is a clear reminder that the technology industry is entering a period of strong transformation, where "streamlining", automation and AI strategy are vital factors for long-term development.
