All the latest UK technology news, reviews and analysis


Microsoft to axe 18,000 jobs, 12,500 from Nokia division

17 Jul 2014
Microsoft said at least 13,000 jobs would go within six months

Microsoft is to axe 18,000 jobs from across the company, including 12,500 from its newly merged Nokia division, in one of the firm's biggest staff overhauls for many years.

Microsoft chief executive Satya Nadella confirmed the cuts in an email to staff that was made public, explaining that he believes the shedding of such a large number of roles is vital to help Microsoft remain as efficient as possible.

"The first step to building the right organisation for our ambitions is to realign our workforce. With this in mind, we will begin to reduce the size of our overall workforce by up to 18,000 jobs in the next year," he said.

"Of that total, our work toward synergies and strategic alignment on Nokia Devices and Services is expected to account for about 12,500 jobs, comprising both professional and factory workers."

Nadella said the majority of those affected – 13,000 – will know within the next six months if they are to be let go, although he did not make clear if this would cover just Nokia, or Microsoft, or both.

"My promise to you is that we will go through this process in the most thoughtful and transparent way possible," added Nadella, confirming the standard attempts to soften the blow through severance pay and job transition guidance.

The layoffs will not be cheap, with Microsoft expecting to incur pre-tax charges of $1.1bn to $1.6bn over the next four quarters, including $750m to $800m for severance and related benefit costs.

The cuts had been expected after Nadella outlined his vision for the company in a memo last week, in which he said the company needs to be more efficient in order to innovative more successfully.

  • Comment  
  • Tweet  
  • Google plus  
  • Facebook  
  • LinkedIn  
  • Stumble Upon  
Dan Worth
About

Dan Worth is the news editor for V3 having first joined the site as a reporter in November 2009. He specialises in a raft of areas including fixed and mobile telecoms, data protection, social media and government IT. Before joining V3 Dan covered communications technology, data handling and resilience in the emergency services sector on the BAPCO Journal

View Dan's Google+ profile

More on Management
What do you think?
blog comments powered by Disqus
Poll

IT curriculum poll

With coding now compulsory in schools, how important are digital skills for the next generation of school leavers?
63%
9%
19%
9%

Popular Threads

Powered by Disqus
V3 Security Summit

V3 Security Summit Day 2: Botnet, skills and BYOD intelligence incoming

Keep V3 bookmarked for news updates on all the key security concerns and topics facing businesses

Updating your subscription status Loading
Newsletters

Get the latest news (daily or weekly) direct to your inbox with V3 newsletters.

newsletter sign-up button
hpv3may

Getting started with virtualisation

Virtualisation can help you reduce costs, improve application availability, and simplify IT
management. However, getting started can be challenging

ibmv3may

Converting big data and analytics insights into results

Successful leaders are infusing analytics throughout their organisations to drive smarter decisions, enable faster actions and optimise outcomes

Senior Oracle Apps DBA - Havant

Senior Oracle Apps DBA - Havant (Hampshire)- £45,000...

UX Researcher

UX Researcher London Contract A UX Design Researcher...

Global Service Desk Manager

Job Description As the Global Service Desk Manager...

MI Business Analyst / Data Analyst / Data Mining

Entrepreneurial financial services business which has...
To send to more than one email address, simply separate each address with a comma.