News

Microsoft expected to announce job cuts

Microsoft expected to announce job cuts

MICROSOFT:Since absorbing the handset business of Nokia this spring, Microsoft has 127,000 employees, far more than rivals Apple Inc and Google Inc. Wall Street is expecting Chief Executive Satya Nadella to make some cuts, which would represent Microsoft's first major layoffs since 2009. Photo: Reuters

(Reuters) – Microsoft Corp is planning its biggest round of job cuts in five years as the software maker looks to integrate Nokia Oyj’s handset unit, Bloomberg reported, citing people with knowledge of the company’s plans.

The reductions, expected to be announced as soon as this week, could be in the Nokia unit and the parts of Microsoft that overlap with that business, as well as in marketing and engineering, Bloomberg reported.

Since absorbing the handset business of Nokia this spring, Microsoft has 127,000 employees, far more than rivals Apple Inc and Google Inc. Wall Street is expecting Chief Executive Satya Nadella to make some cuts, which would represent Microsoft’s first major layoffs since 2009.

The restructuring may end up being the biggest in Microsoft history, topping the 5,800 jobs cut in 2009, the report said.

Some of the job cuts will be in marketing departments for businesses such as the global Xbox team, and among software testers, while other job cuts may result from changes Nadella is making to the engineering organization, Bloomberg reported.

Last week, Nadella circulated a memo to employees promising to “flatten the organization and develop leaner business processes” but deferred any comment on widely expected job cuts at the software company.

Nadella said he would address detailed organizational and financial issues for the company’s new financial year, which started at the beginning of this month, when Microsoft reports quarterly results on July 22.

Microsoft could not be immediately reached for comment outside regular business hours.

(Reporting by Supriya Kurane in Bangalore; Editing by Gopakumar Warrier)

News

in National

Consumers can sue Target over data breach

Fresh
target

A judge has cleared the way for consumers to sue the retailer over the 2013 data breach.

in National

Poll: Americans skeptical of commercial drones

Fresh
drones

Americans say they are skeptical that the benefits will outweigh the risks to privacy and safety.

in National

U.S. plans to rate colleges on affordability, performance

college

The White House released a draft of its plan to tie federal aid to performance as a way to coax institutions to improve.

in Entertainment

Forget politics, Sony calls ‘The Interview’ ‘desperately unfunny’

interviewmovieposter

Leaked emails show some Sony execs thought the $44 million comedy would have been a "flop."

in Entertainment

Jennifer Aniston, Kevin Hart honored by ‘People’

kevinhart

The first-ever awards show honored the year's best in entertainment.