Rumor: Microsoft to lay off 17%
Posted: Fri Jan 02, 2009 1:15 am
Wow, that's a lot of workers if it ends up being true. And on the heels of the Zune fiasco, this could be the beginning of the end. Morale tanks when you have massive layoffs. I know where I work, all the go-go hoorah garbage they were pushing disappeared, and the quality of the operation declines.
http://arstechnica.com/journals/microso ... roblogging
http://arstechnica.com/journals/microso ... roblogging
BugzRumor: Microsoft to lay off 17% of staff on January 15, 2009
By Emil Protalinski | Published: January 01, 2009 - 06:18AM CT
Last week, Mini-Microsoft reported on a rumor regarding Microsoft layoffs expected to start on January 15, 2009 (a week before Microsoft's Q2 earnings report). I brushed the news aside then, but now it's worth quoting, just in case:
Rumors. Microsoft layoff and cut-backs and Reduction In Force rumors. That's all I have for you. Rumors and second-hand speculation and the comments left by the fine, good-looking folks who participate in the conversation here. So pour yourself some holiday cheer and dive in.
Keep this information in mind when you consider that this week Fudzilla has also received information about cutbacks:
Currently Microsoft employs about 90,000 people across the world and from what we're hearing, some 15,000 of those are expected to be giving marching orders come January 15th. That's almost 17 percent of Microsoft's total work force, not exactly a small number. So far, we haven't managed to confirm what departments or regions will be hit the worst, but we're hearing that MSN might be carrying the brunt of the layoffs. We're also hearing rumors about the possibility of somewhat larger staff cuts at Microsoft EMEA (Europe, Middle East and Africa).
Both sites claim that Microsoft recently warned its employees of the upcoming date. Nevertheless, this is staying in the rumor box until Microsoft speaks to the public about it. The recession is being used as an excuse by many companies to do some cleaning, though Microsoft is not typically a company that has mass layoffs, given its high profit margin.
The last Microsoft rumor reported by Fudzilla turned out only somewhat true: the company did not launch retail stores, but they expanded the Microsoft Store to the US. I would not be surprised if there were layoffs coming on January 15, but I can't see them being as huge as 17 percent. What are your thoughts on the rumored layoffs?