Thousands of workers across the world might experience layoffs at Microsoft come 15 January. According to CNET News about 15,000 workers, approximately 17 percent of Microsoft operations worldwide can expect layoffs before the second quarter earnings report scheduled for 22 January.
The Independent reported that due to the worldwide economic downturn, Microsoft is experiencing slow demand at both the retail and business levels, resulting in reduced sales of the Windows operating system as well as licenses for corporate software like Microsoft Office.
Microsoft EMEA, (Europe, Middle East and Africa) is expected to be hit harder than North American operations. According to the Fudzilla blog, a ten percent reduction in employees might be able to save the company $1.2 billion per year, but the cut will go as deep as 17 percent and MSN is expected to suffer the worst.
This could be the first mass-layoff in Microsoft’s 32-year history.-Natalie Grobler
