Microsoft cuts jobs over low performance, no severance for some

Microsoft

A fresh round of layoffs have begun at Microsoft. As per a report by Business Insider, Microsoft has started laying off employees based on their performances. The report reveals that some employees were relieved from their services on an immediate basis.

The employees were informed about their termination via an email, which was accessed by Business Insider. The report further reveals that employees who are affected by these job cuts will immediately lose access to Microsoft systems.Their healthcare benefits will also end on their last working day. In some cases, Microsoft has reportedly not offered severance to those being let go.

The termination letters state that the employees did not meet the company’s minimum performance standards.

"The reason(s) for the termination of your employment include your job performance has not met minimum performance standards and expectations for your position. You are relieved of all job duties effective immediately and your access to Microsoft systems, accounts, and buildings will be removed effective today. You are not to perform any further work on behalf of Microsoft,” letter obtained by Business Insider revealed.
Microsoft has been tightening its performance management process in recent months. The company has evaluated employees at all levels, including senior positions. A Microsoft spokesperson confirmed the job cuts but declined to comment further. However, the company has stated that when employees leave for performance reasons, their roles are often backfilled.

At the end of June, Microsoft had about 228,000 full-time employees. While the latest layoffs are based on performance, the company has also made other job cuts this month across divisions like security, sales, gaming, and devices. Microsoft says these layoffs are separate from performance-based terminations.