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Comment by BobbyTables2

18 hours ago

Especially all at once..

They could have done 10% a year for the next 2-3 years, but the immediate financial gratification wouldn’t be satisfied

Copilot going to pick up the slack of 25% of the workforce?

I'd argue it's actually better to do 25 % at once and then not doing anything like it for ... decades, ideally, but years, realistically.

Spreading it out means employees spend some of their time with an ear to the ground rather than working, and teams have to deal with multiple restructurings, neither of which are good for well-being nor productivity.

  • But Microsoft has turned layoffs at the end/beginning of the fiscal year into an iPhone-like release schedule. It's so reliable at this point that it's a meme outside the company amongst its customers. I know for a fact each June/July I'm getting a new account team as people are shuffled around, and low performers are shown the door

    Even with these buyouts, there will be layoffs next summer. And the summer after that. And the summer after that.

Not to say that this is isn't huge, but it's _up_to_ 25%, given that some will accept and some won't.

And the internal memo currently circulating actually does not mention that number so I'd be curious where it came from.

  • Business Insider says it came from a Microsoft spokesperson. In the absence of an explicit number in a press release, I'd be inclined to believe it.

Isn't average corporate worker attrition at 11-12%? so they could achieve that much just with hiring freeze.

  • 11-12% annually, so yeah a year long hiring freeze might get you to the right number. The problem is that it gives you no flexibility or control over who attrits, and removes your ability to keep critical roles filled.