Wednesday, May 6, 2009

Microsoft cuts 1,200 in WA state

Microsoft has informed the Washington Employment Security Department that 1,200 jobs are being cut in the state as part of its latest round of layoffs, the company confirms. That primarily reflects the impact on its Redmond headquarters and the surrounding area.

That's in addition to the 872 jobs eliminated in the state as part of the initial round of layoffs, bringing the company's total job cuts in the state to more than 2,000 since the January announcement. Microsoft isn't saying which divisions or units are affected by the latest round, but anonymous employee posts indicate that worldwide sales, marketing and services are getting hit particularly hard.

Worldwide, Microsoft isn't saying exactly how many people it will be laying off in the latest round of cuts. The company said in January that it would cut 5,000 jobs by June 2010. Microsoft CEO Steve Ballmer this morning characterized the latest cuts as the "second phase" of that plan, adding that the company is now "mostly but not all done with the planned 5,000 job eliminations."

About 1,400 jobs were cut worldwide in January. Taking that into account, Ballmer's latest statement implies that the company is cutting more than 3,000 jobs globally in this latest round. Microsoft said about half the cuts are in the U.S. and half in international markets.

Update, 12:44 p.m.: The effective date listed in the company's WARN notice is July 4, according to a spokeswoman for the employment agencies. That's in line with federal law requiring companies to give 60 days notice of mass layoffs. Laid-off employees technically remain on the payroll until then.

Earlier Today: Ballmer's email on job cuts and Microsoft continues layoff plan.




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