Microsoft Launches Massive Layoffs: Hundreds of Employees Dismissed Without Severance Pay

Microsoft Launches Massive Layoffs: Hundreds of Employees Dismissed Without Severance Pay

In a shocking move, technology giant Microsoft has embarked on a widespread layoff program targeting underperforming employees, with some workers being immediately terminated without any severance pay. The company's performance-based approach to managing its workforce has resulted in the dismissal of hundreds of employees across various divisions.

According to sources, termination letters sent to affected employees revealed that they did not meet Microsoft's minimum performance standards, effectively revoking their access to company systems, accounts, and buildings on the same day. Interestingly, at least three employees reported being informed by HR representatives that they would receive no compensation for their dismissal, with healthcare, prescription, and dental benefits ceasing on their final working day.

Microsoft has maintained its stance that the decision is aimed at preserving high-performance talent within the organization. A spokesperson defended the company's actions, stating, "At Microsoft, we focus on helping people learn and grow. When performance doesn't meet expectations, we take action to ensure our business thrives."

However, not all layoffs are performance-related. Meanwhile, the tech giant is also cutting jobs across several divisions, including security, sales, gaming, and experiences and devices teams. This restructuring effort aligns with a broader trend of industrywide layoff programs.

Industry peers have taken notice of Microsoft's new approach to workforce management. Google has recently introduced a voluntary severance program for its Android, Pixel, and Chrome divisions, while Amazon laid off staff in its communications and corporate responsibility teams. The job cuts by Microsoft have raised concerns about the well-being of thousands of affected employees, who are left wondering if they will be able to find new employment opportunities with their former employer.

With around 228,000 full-time employees as of June 2023, Microsoft joins the growing list of tech companies reorienting its workforce.