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Microsoft cuts 18,000 jobs
money.cnn.com ^ | July 17, 2014 | David Goldman

Posted on 07/17/2014 6:54:56 AM PDT by John W

Microsoft CEO Satya Nadella wasn't kidding -- he really is making bold changes.

The software giant said it would cut 18,000 jobs within the next year -- about 14% of the company's 125,000 employees. That's by far the largest round of layoffs in the company's history.

The previous record came during the lowest point of the Great Recession, when Microsoft (MSFT, Tech30) cut more than 5,000 jobs in 2009 -- the first mass layoff in the company's history.

Most of the latest round of layoffs -- 12,500 -- will come from Nokia's devices and services business that Microsoft recently bought. In a memo to Microsoft's staff, Nadella said that Microsoft found many redundancies between the two companies, including both professional and factory workers.

(Excerpt) Read more at money.cnn.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS:

1 posted on 07/17/2014 6:54:56 AM PDT by John W
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To: John W

But this cannot be! Our economy is STRONG, our collective socialist will is STRONG. Our lies and manipulation of data are STRONG as are the obfuscations and misinterpretations of the media when it falls on the side of the Blessed One.


2 posted on 07/17/2014 6:56:22 AM PDT by Gaffer
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To: John W

MSFT hits 14 year high and is over $45/sh for the first time since the dot com bubble.


3 posted on 07/17/2014 6:57:43 AM PDT by Wyatt's Torch
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To: John W

We need more STEM workers and amnesty so says Bill Gates.


4 posted on 07/17/2014 6:58:15 AM PDT by kabar
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To: Gaffer

Wow. Just wow.

What can we say. We have been told that our economy is strong, and have been told that high tech companies such as Microsoft are leading the way to a 21st century economy. We have been told that such companies will carry our economy, as the traditional industrial jobs of the past have faded away or been exported to other countries.

We see that even a giant tech company such as Microsoft is not immune to mass layoffs.


5 posted on 07/17/2014 6:58:50 AM PDT by Dilbert San Diego (s)
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To: John W

Plucked from the webpage: “The previous record came during the lowest point of the Great Recession, when Microsoft (MSFT, Tech30) cut more than 5,000 jobs in 2009 — the first mass layoff in the company’s history.”

The “Great Recession” eh.


6 posted on 07/17/2014 7:02:33 AM PDT by SgtHooper (This is not my tag!)
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To: Dilbert San Diego

If most of the laid off workers are Nokia people then they will be laid off in Finland.


7 posted on 07/17/2014 7:03:07 AM PDT by redangus
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To: Dilbert San Diego

It’s just the elimination of redundant positions at what was once Nokia. There were two companies, now there is only one. Both sets of employees are not needed.


8 posted on 07/17/2014 7:03:34 AM PDT by Wolfie
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To: John W

hopefully they will get rid of all the India tech support guys. I cannot understand a word they speak. Bring the remaining jobs back to the USA.


9 posted on 07/17/2014 7:03:35 AM PDT by Dacula
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To: Dilbert San Diego; Just Lori; Libertina; Publius; Lexinom; horatio; freebird5850; Horatio Gates; ...
WA Ping

Watch out, neighbors. More $100,000 middle managers will soon be heading to Starbucks for applications.

10 posted on 07/17/2014 7:04:10 AM PDT by Baynative (How much longer will the media be able to prop up this administration?)
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To: redangus
"Under the Ballmer era, there were many layers of management and a plethora of expensive initiatives being funded that has thus hurt the strategic and financial position the company is in, especially in light of digesting the Nokia acquisition," says Ives. "Nadella is using today as an opportunity to make sure that Microsoft is ready and well positioned to embark on its next chapter of growth around mobile and cloud."
11 posted on 07/17/2014 7:05:46 AM PDT by Baynative (How much longer will the media be able to prop up this administration?)
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To: Gaffer
and thanks to ObamaCare, these laid off workers can pursue their real desired activities such as playing Communist's songs in front of the StarBucks in Pike Place Market or becoming a whale watcher in the San Juan Islands.

Thank you Nancy Pelosi!

12 posted on 07/17/2014 7:06:18 AM PDT by Lockbox
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To: Dilbert San Diego

Agree. Yet somehow, I suspect that none of the 18,000 who have lost their jobs will appear on the unemployment numbers issued by our BLS. Further, I expect that this will eventually be touted as some Government advance in the new economic standard of equity.

My guess is that the government is now in their cabal’s lair, running focus-group presentations to dumbass entitlement leeches about how “those MS employees aren’t losing their jobs! - They’re getting a terrific opportunity at time off to do whatever-dude, and they’ve mostly got all that MS stock to fall back on.” I guarantee it.


13 posted on 07/17/2014 7:06:30 AM PDT by Gaffer
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To: Wolfie

You should join the government focus group excuse idea people. Or maybe get a place on their media ‘excuses’ team. :o)


14 posted on 07/17/2014 7:09:01 AM PDT by Gaffer
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To: John W

I get investment advisers telling me that my retirement funds need to be in aggressive stock funds to take advantage of this “irrationally exuberant” stock market, but I’m not buying it. I am seeing too many businesses shuttered, too many lay-offs, too many signs of a coming depression that will make 2008 look like a picnic. This administration is setting the stage for it, they are exacerbating the situation by their policies, and the latent fall is just around the corner.

I’m afraid that when the fall suddenly occurs, the markets WON’T LET YOU, by executive decree, of course, sell out of your position. This sounds like crazy talk, but look at what’s happened so far with his edicts?


15 posted on 07/17/2014 7:14:12 AM PDT by fwdude (The last time the GOP ran an "extremist," Reagan won 44 states.)
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To: Gaffer

Correction: ....will NOT appear....


16 posted on 07/17/2014 7:15:59 AM PDT by Gaffer
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To: John W

I think our economy is weak, no doubt about that statement, and mass layoffs are a horrible thing in most cases. However, MS really hasn’t had a stellar record as of late. They botched the release of Windows 8, the Surface looks to be a failure, Sync is not a good OS system for auto use, barely anybody uses the Windows phone, and the Xbox 1 pissed off gamers with their draconian DRM and expensive price tag. You just can’t keep on releasing crappy products and hope to grow off that type of track record.


17 posted on 07/17/2014 7:15:59 AM PDT by erod
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To: Dacula
hopefully they will get rid of all the India tech support guys. I cannot understand a word they speak.

And their customer service skills are completely absent. They assume that their cultural norm of rudeness to customers will fly here.

18 posted on 07/17/2014 7:16:06 AM PDT by fwdude (The last time the GOP ran an "extremist," Reagan won 44 states.)
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To: Gaffer

Well that’s exactly what is taking place.

I know lots of people desperately want to say “This is because M$ is crap, and they are going out of business” or some other nonsense. But everyone has known for months that acquiring Nokia will lead to redundant staff being let go.


19 posted on 07/17/2014 7:17:02 AM PDT by VanDeKoik
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To: VanDeKoik

yeah....they got Apple iPhone fever instead of sticking to where their strengths were. Regardless, BLS will not include these people in their weekly numbers. It just will not happen. Too many lies are at stake.


20 posted on 07/17/2014 7:19:12 AM PDT by Gaffer
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To: Gaffer

A big company bought a not-so-big company. Should they just have “make-work” jobs for the people who are no longer needed? Should the Feds have stepped in and prevented the purchase?


21 posted on 07/17/2014 7:56:39 AM PDT by Wolfie
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To: John W

But there’s a shortage of high skilled workers, according to the greed heads. Here’s 18k more to add to the pile and ignore while looking overseas for new blood.


22 posted on 07/17/2014 8:01:21 AM PDT by drunknsage
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To: John W

18,000 is a disaster. It’s a drop in the bucket overall in the obummer economy, and it’s a complete, total disaster in human numbers.


23 posted on 07/17/2014 8:19:13 AM PDT by Caipirabob (Communists... Socialists... Democrats...Traitors... Who can tell the difference?)
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To: Wolfie

Actually I don’t care. I’m just saying the government will lie about the impact as they have done every day since the boy king was imaculated.


24 posted on 07/17/2014 8:20:10 AM PDT by Gaffer
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To: John W

I’m betting there will be ~18,000 new employees in India working on a Microsoft contract. The race to the bottom continues....


25 posted on 07/17/2014 8:22:39 AM PDT by Rockitz (This is NOT rocket science - Follow the money and you'll find the truth.)
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To: Caipirabob

Funny thing is, Microsoft was one of the CEO’s who last attended Obama’s whitehouse jobs creation solution task force.


26 posted on 07/17/2014 8:27:01 AM PDT by blackdog (There is no such thing as healing, only a balance between destructive and constructive forces.)
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To: redangus

Just another company take over.


27 posted on 07/17/2014 8:28:09 AM PDT by mylife
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To: Gaffer

Now if we can apply the same efficiencies and redundancy cutbacks to government workers, we could cut the federal workforce in half.


28 posted on 07/17/2014 8:28:29 AM PDT by blackdog (There is no such thing as healing, only a balance between destructive and constructive forces.)
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To: drunknsage

H1b’s and undocumented immigrants to the rescue!


29 posted on 07/17/2014 8:29:24 AM PDT by wally_bert (There are no winners in a game of losers. I'm Tommy Joyce, welcome to the Oriental Lounge.q)
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To: John W

A Penny saved is a Penny earned.

As true today as it was hundreds of years ago.


30 posted on 07/17/2014 8:30:33 AM PDT by Kickass Conservative (THEY LIVE, and we're the only ones wearing the Sunglasses...)
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To: VanDeKoik
I know lots of people desperately want to say “This is because M$ is crap, and they are going out of business” or some other nonsense. But everyone has known for months that acquiring Nokia will lead to redundant staff being let go.

MS products aren't getting any better. Last years of Ballmer's reign were a disaster of epic proportions; he was that close to killing the company. We shall see if the new boss listens to his own words and starts addressing the needs of his customers. Windows 9 better be usable in business environment, or else - the Win8 rejection was the last warning.

Will MS go out of business? Of course, it depends. It wouldn't be out of question if they kept Ballmer. Now it's impossible to say. The fate of MS is in hands of the current team. But purely theoretically, MS could easily commit harakiri by making their latest flagship products unworkable and refusing to sell/support anything that is already deployed. Even if businesses have no burning desire to bury MS, they would be simply unable to use the new toy OS and the new touch-controlled server. Server is controlled by PowerShell, not by GUI, by the way (the GUI only invokes PS.)

The acquisition of Nokia was yet another attempt of Ballmer's MS to barge into the cellphone market. I cannot imagine how they intended to do that on the back of a loser, though. Now they got exactly what they paid for - and they are now dismantling their purchase, as if Nokia needs more problems. As MS and Nokia have little in common, the acquisition was driven by one simple idea: since no phone OEM wants to bother with MS's expensive Phone OS when Android is free, let's buy a phone OEM and order him to use MS OS! Can you imagine anything more anti-market than that? Well, it's possible, of course, that eventually MS Phone becomes more attractive than Android or Tizen, but cost-wise you can't beat free - and MS needs royalties to pay salaries to their 100K workers. Why in the world did MS choose to compete with a totally free product that is produced by a large company that finances the project from completely separate funds, and for their own reason? That game is very hard to win, and MS is many years behind the leaders (it translates to millions of "apps" that are available for iOS and Android.)

31 posted on 07/17/2014 9:20:11 AM PDT by Greysard
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To: Greysard

“MS products aren’t getting any better. Last years of Ballmer’s reign were a disaster of epic proportions; he was that close to killing the company.”

The company made record profits under the guy, despite 24/7 caterwauling from All of the Linux loons, Apple fanatics, and Android devotees that bash every single product and service that company has ever put out as being the worse thing ever created in the history of mankind.

I mean that was the longest screed of nonsense I’ve ever read about that company. It’s like listening to Democrats talk about the Tea Party.


32 posted on 07/17/2014 9:32:54 AM PDT by VanDeKoik
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To: blackdog

Good grief! Figures...everything bummer touches turns to poop...


33 posted on 07/17/2014 9:42:11 AM PDT by Caipirabob (Communists... Socialists... Democrats...Traitors... Who can tell the difference?)
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To: Wolfie

And the people at the companybeing bought out are always the ones to go.


34 posted on 07/17/2014 10:49:08 AM PDT by SeaHawkFan
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To: John W

Just wait until those folks go searching for insurance. My hope is that they all voted for Obama.


35 posted on 07/17/2014 10:50:59 AM PDT by EnquiringMind
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To: VanDeKoik
The company made record profits under the guy, despite 24/7 caterwauling from All of the Linux loons, Apple fanatics, and Android devotees that bash every single product and service that company has ever put out as being the worse thing ever created in the history of mankind.

Remember how the coyote runs past the end of the cliff, pauses in the air, and looks down? MS was very close to that situation. Otherwise you'd have to accept that Ballmer, the geniusest genius of all times, was "pushed" by the board to leave for no good reason. And you'd have to accept that the new people in charge at MS are foolish in their rush to undo the mistakes of Windows 8. Was the MS leadership wrong back then, or is it wrong now? It can't be "neither," but - for MS haters - it can be "both" :-)

I personally believe that Win7 was the best Windows OS ever. Win8 has a lot of good things under the hood, like very fast startup/shutdown times. However the ugly, counterproductive and inconsistent GUI (two control panels?) is killing the adoption rate. A marriage of the Win8 kernel and the Aero of Win7 would do wonders. Flat, pastel-colored, crude decorations of windows are easy to explain - MS wanted to reduce the GPU load, so that Windows can run on a tablet. But excuse me, this here PC is not lacking in the shaders department! Let the desktop be a desktop, and experiment with tablet GUI on tablets. Isn't that what everyone - except MS - does?

36 posted on 07/17/2014 1:55:37 PM PDT by Greysard
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To: VanDeKoik

Right. This layoff includes 12,500 for the Nokia acquisition. MSFT under new direction has already started pivoting and becoming more open. The Office iPad apps were a great start.


37 posted on 07/17/2014 2:00:05 PM PDT by Wyatt's Torch
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To: Kickass Conservative

Average MSFT comp is $100K so that’s $1.8 billion per year in savings.


38 posted on 07/17/2014 2:02:02 PM PDT by Wyatt's Torch
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To: Greysard
Let the desktop be a desktop, and experiment with tablet GUI on tablets. Isn't that what everyone - except MS - does?
Ubuntu felt the need to inflict Unity on its users in the last long term support release. It's incredibly uglly in the same ways as Win8; I shed it first thing for Gnome3/Cairo.

I run Win7 in Virtual Box for the one program I use for work that is only available under MS/.NET There is much that is available for free in the open source world. And if you don't like the way it works you can make it better.

Freedom ≠ Free Stuff☭
I, for one, welcome our new Cybernetic Overlords /.
Mash Dobbshead® for HTML, bop Hello_Cthlhu for XAMPP

39 posted on 07/17/2014 2:22:01 PM PDT by Mycroft Holmes (The fool is always greater than the proof.)
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To: Mycroft Holmes
Ubuntu felt the need to inflict Unity on its users in the last long term support release. It's incredibly uglly in the same ways as Win8; I shed it first thing for Gnome3/Cairo.

I had the same issues with Unity, and I abandoned Ubuntu Desktop in favor of Mint/KDE. "From Freedom Came Elegance" - very apt [-get.] Ubuntu maintainers were told more than once that Unity is not needed or wanted. Unfortunately, it was pushed through for about the same reasons that foisted Metro|Modern upon hapless Windows users.

40 posted on 07/17/2014 2:53:00 PM PDT by Greysard
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To: Greysard
Mint seems like the right choice for a new user of Linux. I haven't heard any complaints about it yet. But, inertia is a mighty force and Ubuntu is comfortable now that it works exactly the way I want.
41 posted on 07/17/2014 2:59:13 PM PDT by Mycroft Holmes (The fool is always greater than the proof.)
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To: VanDeKoik
Windows XP and Windows 7 were good, solid products.

Balmer, sadly, replaced Microsoft's one-time pioneering spirit with a spirit of CYA and look goodism. Whereas Google employees spend 20% of their time innovating their projects on the company's dime, Microsoft employees under the Balmer regime spent that same 20% of their time preening to avoid being cut through Balmer's outdated performance management scheme.

Innovation is all but dead at Microsoft. They have become copycats because they have chosen to hire a certain type of employee and to build a certain type of culture.

42 posted on 07/17/2014 7:52:51 PM PDT by Lexinom
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To: Greysard
XUbuntu with the XFCE desktop serves me well. I do most of my work in the shell anyways.

Unity: Boooooo!

43 posted on 07/17/2014 7:54:20 PM PDT by Lexinom
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To: Mycroft Holmes
Hear, hear and hearken to the voice crying in the streets! :)

I just upgraded to Ubuntu 14.04. Linux always has little issues (like figuring out how to get the HDMI audio to work to watch a movie with my sweetie), but it also always has little solutions that are a Google search. Usually a simple edit to a file or a little script, and you can get the system running very smoothly for your needs.

After being on Linux for any length of time, Windows just seems slow and bloated. Linux gives you about a 30% performance boost out of the box vs. Windows because of the lack of plug-and-play. Being stupid is expensive, and if you are willing to be smart with regard to your drivers, you don't need to run all the bloatware for the 99.999999% of the time you don't need it...

44 posted on 07/17/2014 8:03:33 PM PDT by Lexinom
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To: fwdude

I suspect that there will be a call to seize 401K assets to pay for SS. The coming crash will be the reason.


45 posted on 07/18/2014 5:44:17 AM PDT by redgolum ("God is dead" -- Nietzsche. "Nietzsche is dead" -- God.)
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