Washington State is seeing major layoffs in 2025. The tech and aerospace sectors are hit hardest. Thousands of jobs are being cut. Growth is slowing, but the state is not in recession.
Microsoft is laying off over 1,500 workers in Redmond and Bellevue. Cuts focus on the Azure cloud and Mixed Reality units. The company is shifting resources to AI and cutting costs.
Amazon is trimming staff in Seattle and Bellevue. Several hundred workers are affected. AWS and physical store tech teams are the main targets. The layoffs are part of a cost-control strategy.
Boeing is cutting more than 1,000 non-union jobs in Everett and Renton. The company is reducing 737 MAX production. Quality control issues and weak demand are driving the changes. Layoffs are being done through attrition and cuts.
T-Mobile, based in Bellevue, is also reducing its workforce. It's part of a national plan to cut 5,000 jobs. The focus is on corporate and back-office roles. Washington-specific numbers haven’t been disclosed.
REI is laying off over 260 workers at its Kent headquarters. The retail giant is responding to weak consumer spending. This follows earlier rounds of corporate downsizing.
Washington’s economy is shifting. Tech companies are correcting from over-hiring during the pandemic. Profit and efficiency are now the priority. AI investments are growing fast.
Boeing’s troubles affect more than just its workers. Many local suppliers are also feeling the slowdown. Aerospace remains a critical but fragile industry.
Still, the state’s economy is broad. Life sciences, agriculture, clean energy, and maritime trade are doing well. The unemployment rate is up slightly but still low.
Construction is slowing. High interest rates are cooling demand. Office space development has dropped. Infrastructure projects are still active but can’t offset private sector losses.
Forecasters are cautiously optimistic. Washington’s strengths—innovation, education, and tech leadership—are intact. The state is well-placed for the next wave of growth.
In short, 2025 is a reset year. Big names are cutting jobs. But Washington’s economy is adapting. The long-term outlook remains strong.