West Virginia Rep. Riley Moore has called for the removal of Xbox CEO Asha Sharma from a Federal Reserve task force following significant layoffs in Microsoft’s gaming division.
West Virginia Representative Riley Moore has formally requested that Federal Reserve Chair Kevin Warsh remove Xbox CEO Asha Sharma from a task force focused on productivity and jobs. This demand comes in light of Microsoft’s recent announcement of thousands of job cuts within its gaming division.
Moore’s call for action follows Sharma’s announcement that Xbox would eliminate an additional 3,200 jobs as part of a broader restructuring effort at Microsoft. The Republican congressman has raised concerns about Sharma’s suitability for the Federal Reserve advisory role, particularly given the ongoing layoffs at Xbox under her leadership.
Sharma was appointed as one of the co-leaders of the Federal Reserve’s Productivity and Jobs Task Force, which is tasked with examining the economic implications of emerging technologies, including artificial intelligence, and their effects on central bank policy decisions. However, her appointment has faced criticism, especially after Microsoft revealed plans to cut thousands of jobs at Xbox.
In a social media post, Moore questioned the rationale behind Sharma’s selection for the task force, emphasizing that it raises concerns about her ability to contribute meaningfully to discussions about productivity and employment while overseeing significant layoffs at her company.
In his letter to Warsh, Moore argued that Sharma’s recent corporate decisions cast doubt on her qualifications for an advisory position that is centered on job creation and economic productivity. He pointed out the contradiction of having a corporate executive responsible for job cuts serve on a task force focused on enhancing employment opportunities.
This controversy follows earlier reports detailing Microsoft’s restructuring of its gaming operations. In early July, the company announced it would cut approximately 4,000 jobs as part of its efforts to streamline Xbox’s studios and operations. The additional 3,200 job cuts planned for fiscal year 2027 have further intensified scrutiny of Sharma’s leadership.
The layoffs have impacted employees across Microsoft’s gaming sector, coinciding with the company’s strategic shift towards profitability and operational efficiency. Sharma, who took on the role of CEO of Microsoft Gaming earlier this year, has defended the restructuring as a necessary step to reset the Xbox business and clarify its future direction.
Sharma’s appointment to the Federal Reserve task force has raised eyebrows, particularly as it occurred amidst widespread layoffs. Critics, including lawmakers, have questioned the decision to include an active corporate executive who is managing a significant workforce reduction in a group that is supposed to address productivity and employment issues.
The Federal Reserve has established five task forces, with the Productivity and Jobs group specifically examining the economic effects of new general-purpose technologies, such as artificial intelligence. Sharma is serving alongside notable figures, including Stanford economist Charles I. Jones and venture capitalist Marc Andreessen.
Chairman Warsh has stated that these task forces are intended to provide external expertise and evaluate whether the Federal Reserve’s analytical tools and policy approaches can be enhanced. However, the controversy surrounding Sharma’s appointment has sparked a broader discussion about the implications of artificial intelligence, automation, and corporate restructuring on the U.S. workforce.
Moore’s intervention adds a congressional dimension to the ongoing debate, placing renewed scrutiny on Sharma’s dual role as the head of a major technology firm facing layoffs and as an advisor to the Federal Reserve on critical issues related to productivity and employment.
As of now, the Federal Reserve has not indicated any plans to reconsider Sharma’s appointment. Moore’s demand for her removal has introduced further political scrutiny as the central bank’s task forces commence their work.
According to The American Bazaar, the situation continues to evolve as stakeholders monitor the implications of Sharma’s leadership and the ongoing restructuring at Microsoft.