Microsoft said on Wednesday that it would cut 10,000 jobs worldwide amid a slowdown in the global economy.

in a blog postMicrosoft CEO Satya Nadella said the company was looking to align its cost structure with projected revenue and where customer demand remained the strongest.

“As we saw customers accelerate their digital spend during the pandemic, now we see them optimize their digital spend to do more with less,” he wrote. “We are also seeing organizations across industries and geographies exercise caution as some parts of the world are in a recession and other parts anticipate one.”

The cuts affect less than 5% of the software giant’s total employee base, he said.

A person walks past the Microsoft headquarters in Redmond.
A person walks past the Microsoft headquarters in Redmond, Washington on November 14, 2019.Wang Ying/Xinhua via Getty Images file

The announcement is the latest in a wave of white-collar job losses that have come as inflation, higher interest rates and slower growth have hit spending around the world. Earlier on Wednesday, the Commerce Department said US retail sales fell 1.1% in December, more than analysts had expected.

Microsoft joins the likes of Google parent Alphabet, Amazon, Facebook and Salesforce among the tech giants that have announced job cuts in recent months.

Microsoft has order 2% revenue growth in the fiscal second quarter, which would be the slowest rate since 2016, CNBC reported.