Microsoft layoffs: Tech giant Microsoft has announced a fresh round of layoffs, cutting 9,000 jobs across various teams. However, the company is facing growing criticism, with many accusing it of using the H-1B visa programme to replace American workers with lower-paid foreign labour. Indian-origin tech influencer Debarghya ‘Deedy’ Das took to X (formerly Twitter) to challenge what he called a “misleading narrative”.
According to Das, the majority of H-1B petitions received by Microsoft are for visa renewals, which are filed every three years, explaining periodic surges in numbers. Citing data from the US Citizenship and Immigration Services (USCIS), he noted that Microsoft had 1,264 approved petitions in FY24, an increase from FY23 and FY22. Of these, nearly 1,200 were new H-1B applications, representing only around one-quarter of petitions and approximately 10% of new hires, accounting for just 0.5% of Microsoft’s total workforce, he wrote.
"Microsoft laid off 9000 people and replaced them with 14,181 H-1Bs" which is a misleading narrative.
Most petitions are renewals that need to be done every 3yrs. In 2024, Microsoft had ~1200 new H-1Bs:
—~25% of all H-1B petitions
—~10% of new headcount
—0.5% of total employees pic.twitter.com/RcuNuBu88T— Deedy (@deedydas) July 4, 2025
What do we know about the layoffs?
A conflicting report by WND, however, stated that Microsoft was among the top three companies submitting applications under the H-1B, H-1B1, and E-3 visa categories, with 14,181 applications filed. According to the Office of Foreign Labour Certification, roles most affected by the layoffs included software developers, electronics engineers, and IT project managers.
As tech layoffs surge, H-1B demand hasn’t slowed down.
Microsoft just cut thousands of American workers…yet they’ve already requested 14,181 more H-1B workers this year, and it’s only Q2.
If AI is the reason Americans are being let go, why are companies still asking for… pic.twitter.com/pK44zRVJsj
— Alb (@amandalouise416) June 26, 2025
The same report also claimed that “just 30 days before the mass layoffs began”, Microsoft spent $2.35 million lobbying the US Departments of Labour and Homeland Security, specifically targeting agencies responsible for H-1B visa approvals. The report further alleged that fresh visa applications were filed in the same month Microsoft issued redundancy notices to 2,300 employees, including 817 software developers.