Things Get Increasingly Nasty at Microsoft Ahead of the Fake Results and May's Mass Layoffs Wave
Do not be mistaken or too easily fooled (shallow platitudes debunked above). The impending mass layoffs at Microsoft (already about 5,000 workers culled since January) aren't about "performance" or improving the workforce "efficiency". They're about cutting costs as the company's debt surged like IBM's. Microsoft needs to pay back over 100 billion dollars, plus interest.
Things have gotten so ugly that according to whistleblowers this is what's happening shortly before the next batch of fake results:
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Microsoft big deadline for employees: 'Leave office within five days or...'
Microsoft is implementing a new performance strategy. The tech giant is offering underperforming employees a severance package of 16 weeks' pay to voluntarily leave instead of entering a Performance Improvement Plan (PIP). Employees have five days to decide, and those choosing the PIP forfeit the payout. Moreover, underperforming employees will also be banned from internal transfers.
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Microsoft is allegedly paying low performers to quit
The tech industry is often cautious about tying layoffs to performance, even if it might play a role in who gets dismissed during widespread job cuts. But this year has signaled a noticeable shift in how some of the biggest players in tech approach layoffs: Earlier this year, Meta cut more than 3,000 employees in a move that the company framed as “non-regrettable attrition.” The number of Amazon employees on performance improvement plans reportedly surged in recent years, leading up to layoffs—and Microsoft has allegedly cut thousands of employees who were classified as “low performers.”
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Microsoft will now pay some employees to leave amid continued crackdown against ‘low performers’
Microsoft continued its crackdown against ‘low performers’ this week with financial incentives for voluntary resignations. The revelation came a day after the company outlined several policy changes including a two year re-hiring ban for such employees. The tech giant recently fired around 2000 ‘underperforming’ employees without severance pay and is reportedly gearing up for a fresh round of layoffs in May.
According to an internal email viewed by Business Insider, the company will now give affected staffers five days to either enter a ‘performance improvement plan’ or accept a payout equivalent to 16 weeks of salary. Those opting for a PIP will not be able to backtrack and accept the disbursement later.
Many of the most important leaks comes from Business Insider (more so in recent years) because some Microsoft whistleblowers trust this publisher. That's good.
The real issue is, Microsoft is running out of salaries' budget and in the process of getting rid of staff it looks for ways to 1) do so cheaply. 2) hide from shareholders just to what extent the "investment" in buzzwords (like "hey hi" and "clown computing") fell flat on its face. █
"Microsoft, the world’s most valuable company, declared a profit of $4.5 billion in 1998; when the cost of options awarded that year, plus the change in the value of outstanding options, is deducted, the firm made a loss of $18 billion, according to Smithers."