„Less than 1%” = up to 2880 people.
Unidentified sources who spoke to BI claimed Microsoft would likely backfill the jobs cut this month, meaning there wouldn’t be much of a reduction in overall headcount. Microsoft confirmed this to be the case.
This sounds more like a mass firing than layoffs, but I guess that’s semantics.
This sounds like the Circuit City paradigm, which is to fire all your expensive experienced workers and try to fill their roles with fresh-faced grads or, more likely, H1B people from India at the absolute minimum pay scale.
And we saw how that worked for Circuit City.
I wonder if that’s why Microsoft’s recent products are, you know, the way they are.
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To be fair Microsoft sells flushed out products and their only innovation is worthless, so they don’t really need talkent.
Consumer side perhaps there is little desired innovation from MS, but most of their sales are enterprise and cloud, the last of which is a rapidly evolving market where talent can be put to good use.
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So like, to impress their shareholders that they’re cutting the fat? Aren’t they going to lose time retraining?
Or do you mean by hiring a new class, like they’re getting rid of workers for cheaper one?
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It is a combination of the following: they would rather take a chance on a new employee than a poorly trained existing employee; they need to keep the ability to train people by constantly needing to train people; it keeps the existing workers on their toes.
Microsoft has been infamous for stack-ranking for decades now.
Former MS employee here. One of the first layoffs I’m aware of was within a year after I quit the company. I heard they were streamlining the organization and clearing out “deadwood”. One of my managers there had been a complete drone - in six months he had given me close to ZERO work to do - maybe 3 weeks worth, max. I figured he finally would have been let go, but nope… he was still there, no doubt practicing his excellence as before. What a zoo.
Enshittification isn’t just for the online world!
Gotta pay for those skyrocketing AI server bills somehow