NEW DELHI: Internet is abuzz with reports that software giant Microsoft may be readying pink slips. Some speculations suggest that layoffs could be as high as 10 percent of Microsoft's over 90,000 full-time employees.
According to site newsoxy.com, "Insiders who work for the company say that things are looking grim while a few managers have leaked information about substantial workforce reductions on January 15, 2009."
Blogger Mini-Microsoft writes, “Come 22 Jan., 2009 Microsoft will be asked by the analysts what it is doing to contain costs.” He continues, "And I believe Microsoft will have an answer. I think this is one solution that you don’t want to be a part of. I’m all for cutting back, but it should have been done long ago, responsibly, vs. forced upon us.” He speculates that the axe will fall on January 15, 2009, and will take 10 percent of the company’s workforce when it does.
However, here’s a caveat: Mini-Microsoft is not an official company blog, and it is written by an anonymous author.
Incidentally, responding to speculations of possible layoffs, Oppenheimer & Co. analyst Brad Reback wrote in a report this week that layoffs at Microsoft would be "well-received" by Wall Street and "signal that profitability is more important than revenue growth during this very difficult time."
Microsoft has said that the company's hiring plans are under review. The company has sharply cut back on hiring, reportedly adding only 380 employees to its work force last month, down from 1,000 in October.