Expected Microsoft layoff announcement now official. Final tally = 18 000 job cuts!

Expected Microsoft layoff announcement now official. Final tally = 18 000 job cuts!
A couple of days ago, a rumor surfaced, claiming that Microsoft is about to announce a large job cut, in line with the final stages of integrating Nokia's mobile division into Microsoft's infrastructure.

Sources claimed that the amount of layoffs would surpass 2009's recession-induced 5800 job cuts, but no one thought they would go much above 6 000. Apparently, when CEO Satya Nadella says "change", he means business, as he has today, in an open letter to all Microsoft employees, confirmed that the corporation will be reducing 18 000 jobs in the next year. He respectfully adds that they will go through this process thoughtfully and transparently and will offer severance and job transition help to all employees impacted by these changes.

In last week's memo, Nadella spoke about shifting the corporation's focus further to cloud computing and mobile devices. Apparently, this will also call for changes in how Microsoft functions, as in today's letter, the CEO also says that management will be thinned out, both horizontally and vertically, allowing for faster information travel and decision making.

source: Microsoft via re/code

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95 Comments

1. PapaSmurf

Posts: 10457; Member since: May 14, 2012

That's really sad. I read over 12,000 were Nokia employees.

4. Jinto

Posts: 436; Member since: Jan 15, 2014

On the bright side, those ex-Nokia guys are free to work for other companies

13. CellularNinja

Posts: 306; Member since: Sep 27, 2011

If they had not bought Nokia, it would have tanked in a couple years anyway, and even more employees may have lost their jobs.

42. nokia12

Posts: 610; Member since: Nov 19, 2013

now where is rodneyj11 and liveitup who were shouting that nothing has changed this is same nokia same" great engineers ", same great Products like i told you before all the Nokia greats already Left before the sale was even complete like Camera guru , WP design head , Sales Head etc... the whole Pureview Team i would be really surprised if MS fanboys still don't see this was all planned from the beginning and continue to shun the Trojan horse stuff there are more than enough proofs now ... Elop got paid millions , fooled the board members , took The no 1 company down Hope whatever is left of Nokia comes back in 2016

25. adecvat

Posts: 638; Member since: Nov 15, 2013

"12,000 were Nokia employees" Maybe Apple hire them :)

49. Jinto

Posts: 436; Member since: Jan 15, 2014

R U crazy, Apple dont hire nobody unless the swear fealty to apple

55. RebelwithoutaClue unregistered

You do know that don't hire nobody is a double negative and means something completely different.

61. Jinto

Posts: 436; Member since: Jan 15, 2014

grammar is a very anti-society belief

43. Berzerk000

Posts: 4275; Member since: Jun 26, 2011

Especially considering Nokia has about 90,000 employees. That's a pretty large chunk of the company gone just like that.

65. Ashoaib

Posts: 3271; Member since: Nov 15, 2013

so Nadella = jobless people

90. CellularNinja

Posts: 306; Member since: Sep 27, 2011

why don't you think about the absurdity of your statement before posting it.

92. Ashoaib

Posts: 3271; Member since: Nov 15, 2013

did you thought about yours? no, right? then why anyone else will think?

2. tech2

Posts: 3487; Member since: Oct 26, 2012

Out of 18000, there are about 12,500 Nokia employees being let go:http://www.gsmarena.com/microsoft_kills_nokia_x_android_phones_lays_off_18000_people-news-9060.php So basically they acquired Nokia, stripped it to parts and killed it. Pathetic MS ! You can pay Stephen Elop 25 mil and then you say you don't enough for 18000 employees ?! #TheEvilEmpire

16. HugoBarraCyanogenmod

Posts: 1412; Member since: Jul 06, 2014

You try to ignore how Google sack Motorola staff right? Either way both Google and Microsoft done the right thing to sack all these overpriced American slackers

18. billgates

Posts: 555; Member since: May 29, 2014

Could be worse and live in China.

22. HugoBarraCyanogenmod

Posts: 1412; Member since: Jul 06, 2014

Failed your interview competition ?

47. tasior

Posts: 265; Member since: Nov 04, 2012

Lets look at the statistics: Pupulation: US: 318 mln China: 1 350 mln. GDP (bilions): US: $17 528 China: $14 625 Which gives GDP per capita: US: $54 980 China:$10 695 (source Wikipedia) That shows, that those 'overpriced American slackers' are five times more efficient, than Chinese hard working people... The fact, that people value themselves, and want to live, not only work, does not make them slackers. Moreover it makes them, happy, satisfied, more efficient and ready for challenges workers. Have more respect for others.

53. NokiaFTW

Posts: 2072; Member since: Oct 24, 2012

Look up the meaning of efficiency. And it'd be better if you stop talking foul about China. I think you're an American, and with no disrespect to you, your people or your country, the US economy would have collapsed years ago hadn't it been for China. The Chinese government holds about 1.8 trillion dollars worth of debt from your country in bonds. If the Chinese release those debts, your country and economy would be in a condition even more worse than the poorest country in the world. Your economy would collapse and your people would suffer in poverty and hunger. The Chinese are intelligent people. Sure, there are a lot of cases of human trafficking and other human rights violation, but remember, Apple, an American company, is also held guilty for doing or encouraging such cheap activities, along with low wages and poor working conditions. Do you Americans think of China as just another hugely populated sh*thole? That's a huge mistake. I'm an economics student, and whatever I've written above is true. Remember, the Chinese have the power to cripple the US as well as the World economy. 90% of the products in the market floating about are from China. Everything's MADE IN CHINA, including most of the US economy.

56. tasior

Posts: 265; Member since: Nov 04, 2012

1. I'm not American. 2. I said nothing about China being 'sh*thole' nor about human rights violation. I am not talking foul about China. I just want Chinese guy to stop insulting Americans, in completely unjustified way. 3. "I'm an economics student, and whatever I've written above is true." - is an argument, that will always make Your adversaries laugh. 4. I'm well aware, that showing GDP per capita as efficiency measure is not precise. Nevertheless it shows, how large 'domestic product' has been achieved with only so many hands. Efficiency, development, and knowledge has huge impact on that. 5. As an economics student, You should be well aware, that China is very dependent on western economies, since most of demand comes from there. If anyone would try to sink US economy, China wouldn't stay afloat.

84. NokiaFTW

Posts: 2072; Member since: Oct 24, 2012

What? There are 1.3 BILLION Chinese in the World. Even if NO country trades with them, they still can stay afloat by self consumption. The money would revolve within the economy. Of course, there would be no economic growth, but the people wouldn't be poverty or hunger stricken, unlike what could happen with Western economies as I mentioned in my earlier comment.

66. willard12 unregistered

Hey Mr. Economics student, what happens to China's economy if the US slaps tarrifs on products produced in China? What is the US trade deficit with China? China buys US bonds because China wants US bonds for guaranteed return on investment. US bonds are not hard to sell and if China doesn't buy them, others will. However, goods can be produced in dozens of other developing nations to include Vietnam, the Philippines, and other countries. Having things made in China weakens (not strengthens) employment from all other countries in the world that would love for manufacturing JOBS to return home. If things weren't made in China at slave labor salaries, it would benefit the all other industrialized countries throughout the world, not weaken them.

83. NokiaFTW

Posts: 2072; Member since: Oct 24, 2012

Again, the US CANNOT afford to do that. Where would they get their cars being manufactured? Their iPhones and iPads being manufactured? Where would they get all of their furniture, novelty items, PCs, laptops, TVs, ACs, eateries, clothes manufactured? Do you think everything an American uses is being produced in the US itself? WRONG. All of the things being used in the US right now, and all over the world, are manufactured in China. Do you what would happen if the US stops trade with the Chinese? Hunger, poverty, starvation, civil unrest, and due to the US being the only super power and having a huge influence on world trade, ultimately, WW3.

88. tasior

Posts: 265; Member since: Nov 04, 2012

Neither US nor China can afford to do that. Actually, as You even mentioned, this kind of dark scenario would probably sooner or later ended up with nuclear war. Why are You even discussing it? What are You trying to prove? My conclusion is that Chinese should respect Western World and vice versa. What is Yours? Chinese can disrespect Western World, because their production goes to US?

91. NokiaFTW

Posts: 2072; Member since: Oct 24, 2012

Did I mention or say that the Chinese should disrespect the West? Please understand my comment and then reply to me.

68. sipha

Posts: 440; Member since: May 12, 2012

Did you also look at the inequality gap, income distribution and consumer price index?? Macro economics is not as simple as you just made it sound, your information is very innefficient for the conclusion provided..

70. tasior

Posts: 265; Member since: Nov 04, 2012

The conclusion is that Chinese have no basis to call Americans overpriced slackers, and for that data is sufficient.

85. NokiaFTW

Posts: 2072; Member since: Oct 24, 2012

See, China has 1.3 billion people, and their economy still isn't completely developed. Similar developing nations with huge populations, like India and Brazil, face similar situation of income inequality. But again, unlike India and Brazil, the world relies on Chinese products, and the Chinese government are very well aware of that. And please don't teach me Macro Economics. If there's one thing I can be proud of in myself, its my focus, grades, information and accuracy on Economics, the subject and the general world economy itself.

86. JakeLee

Posts: 1021; Member since: Nov 02, 2013

What China is doing is very well REPLACEABLE, thus makes China EXPENDABLE. Considering incidents like the Chinese Milk Scandal several years ago, China will never get to the status of a "developed, trustworthy" country.

21. Finalflash

Posts: 4063; Member since: Jul 23, 2013

Well he deserved the 25 million, I mean who else could get MS Nokia for a mere 7 billion. It used to be worth like 10x more.

24. Arte-8800

Posts: 4562; Member since: Mar 13, 2014

Very well and wisely said +1

* Some comments have been hidden, because they don't meet the discussions rules.

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