Tuesday 23 January 2018

Fears for Irish workers as Microsoft plans to cut up to 18,000 jobs

Company employs almost 2,000 workers in Ireland alone

Microsoft CEO Satya Nadella. Reuters
Microsoft CEO Satya Nadella. Reuters
Louise Kelly

Louise Kelly

Microsoft have confirmed that it will cut up to 18,000 jobs globally, the largest employee downsizing in its history.

The company employs 1,200 full time employees and 700 full-time contract staff in Ireland.

The announcement comes as the firm, under the leadership of CEO Satya Nadella, undergoes significant restructuring to accommodate the merger with Nokia Oyj’s handset unit.

Approximately 14pc of the software maker’s workforce will be slashed by end June 2015, according to a statement from Nadella today.

"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. We are moving now to start reducing the first 13,000 positions, and the vast majority of employees whose jobs will be eliminated will be notified over the next six months."

"We will offer severance to all employees impacted by these changes, as well as job transition help in many locations, and everyone can expect to be treated with the respect they deserve for their contributions to this company," he added.

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

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