Satya Nadella, the newly appointed CEO of Microsoft has given the thumbs up to plans that could see the largest layoff of employees in the Redmond, WA companies history. Just last Thursday the CEO laid out new plans for the company including a massive organizational shift, and according to a report published in the New York Times on July 16, the changes to the company’s structure will take place first thing tomorrow morning.
After the announcement last Thursday, Nadella avoided questions from the media in regards to what might be happening behind the scenes at Microsoft, and he completely avoided questions about potential employee layoffs, but the report in the New York Times suggests thousands of employees will arrive at work in the morning only to be told to go back home.
The latest round of layoffs at Microsoft are expected to impact the vast majority of employees that Microsoft acquired through the purchase of Nokia’s mobile division earlier on this year, although the layoffs are also expected to impact other departments within the company, including many middle management positions.
The largest previous round of layoffs for the company occurred in 2009 when over 5,800 employees were let go, but this round of axe wielding is expected to at least double that number. When Nokia joined Microsoft over 25,000 employees joined the company, and unfortunately Microsoft simply has no need for the vast majority of them.
According to the report, human resource managers throughout Microsoft’s many divisions have started to reserve conference rooms on the Microsoft campus so that they may meet with the unfortunate employees who will soon face the unemployment line. The layoffs come as no surprise given the fact that Nadella has repeatedly told shareholders and the press that he believes the software giant needs to be re-organized so that the company can regain focus in key areas.
While the acquisition of Nokia was a necessary one for Microsoft, it is unfortunate that so many of the hardworking employees who helped build an empire in Finland will simply be turned loose into an unforgiving landscape that is the current economy and job marketplace.