Thousands of Microsoft workers have been laid off in the past year, and Washington resident Mike Kostersitz is just one of them. After spending 31 years at Microsoft, he is now looking for a job for the first time in more than three decades.
In May, the 60-year-old senior product manager said a new high-priority meeting appeared on his calendar out of the blue.
“I and 120 other anonymous faces were told our jobs had been eliminated,” he told Business Insider (1). The dismissal came as a complete surprise. “After 31 years, you would expect at least your manager or your vice president or someone to come up to you and say, ‘Hey, Mike, this is going to happen and here’s why.'”
A few years ago, Kostersitz presented an “architectural deep dive” in a YouTube video and introduced himself as a PM lead on the Azure Kubernetes Service on Azure Stack HCI (AKS-HCI) team (2).
Kostersitz is among thousands of tech workers who were suddenly forced to navigate an unfamiliar job market reshaped by automation, artificial intelligence and an industry-wide slowdown.
The good news is that he recently shared on LinkedIn that “something exciting is brewing” and he feels “grateful, excited, and ready to prepare for what’s next.”
Microsoft’s layoffs are part of a broader trend. In recent months, Amazon, Meta and Alphabet have cut their workforces. Amazon cut 14,000 jobs in October, citing a shift toward AI automation. Meta cut about 600 positions in its “superintelligence” division, while Alphabet reduced staff in its cloud unit.
According to executive outplacement firm Challenger, Gray & Christmas, cost reduction and artificial intelligence were the top reasons cited by employers for cutting jobs in October (3). The so-called “DOGE impact” is the main reason cited for layoffs in 2025 overall.
The tech industry announced 33,281 job cuts in October 2025, a sharp jump from 5,639 in September and the highest number recorded in any private sector that month. For all of 2025, technology companies have announced 141,159 job cuts, 17% more than in the same period in 2024.
While overall unemployment in the United States remains relatively low, it has increased since the beginning of the year. It would appear that competition for technology positions has intensified. Reports suggest that thousands of skilled professionals are now competing for fewer vacancies, often requiring updated skill sets in artificial intelligence, data science and automation.
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Layoffs can be jarring both financially and emotionally. But as Kostersitz’s story shows, there are ways to stay grounded, adapt, prepare for what’s coming, and land somewhere new and exciting. If you have been laid off or fear you may be, here are some steps to help you find a new position and deal with the emotional impact.
It’s normal to feel shocked or even betrayed, especially after spending decades at a company. Kostersitz said he took the rest of the week off before beginning his job search. Taking a few days to reset can help you think more clearly about next steps and what you really want in life.
Some employers, such as Microsoft, include professional services or financial advice as part of compensation. Kostersitz told Business Insider that the tech giant provided a career coach as part of his severance package, adding that it also hired a private coach to help with resumes, cover letters and LinkedIn optimization. If you are laid off, ask about internal resources you may have access to, such as online training or interview prep.
Kostersitz admitted that returning to the job market after 31 years was like being out of water. Use this period to brush up on emerging tools, especially AI-related technologies, even if your role is non-technical. Free online courses and certifications can help close gaps and make your resume more attractive to recruiters and hiring managers.
Research interview questions in your industry and prepare answers to common questions. Expect behavioral questions. Create three to five concise stories that highlight problem solving, leadership, and adaptability, backed by measurable results. The goal is not to appear in the script, but to show that you are prepared and capable.
References can make a big difference in a competitive recruiting field. Kostersitz, for example, landed an interview with Nvidia thanks to a recommendation from a current employee. Reach out to former colleagues, alumni groups, and industry peers. Even if they can’t hire you, they can often connect you with opportunities or champion you internally.
As layoffs continue to rise in the tech sector, now is a good time to get your finances in order. Even if you don’t feel like you’re at risk of being laid off, consider boosting your emergency fund and updating your resume. Preparation, both financial and professional, can make facing a layoff easier.
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Business insider information (1); Carsten Rachfahl/YouTube (2); Challenger, Gray and Christmas (3)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
