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Wednesday, November 4, 2009

Microsoft announces 800 layoffs; 4% of Mass. workers affected

By Todd Bishop, TechFlash; Mass High Tech staff

Microsoft this morning acknowledged that it’s making additional job cuts today — eliminating another 800 positions around the world, spread across a variety of product groups. Fewer than 40 of the roughly 1,000 Massachusetts-based workers will be affected, a Microsoft spokeswoman confirmed.

Among the Massachusetts layoffs is Don Dodge, former director of business development for Microsoft’s Emerging Business Team. Dodge noted briefly on his blog about his initial surprise of being laid off, before he went on to express gratitude to some members of the company: “Thanks to all the fine people at Microsoft. You know who you are. There are thousands of talented people there and I enjoyed working with all of them.”

With the cuts, Microsoft says it has now completed its plan, announced in January, to eliminate 5,000 positions over 18 months. The latest cuts also go a step further, taking the cumulative number of layoffs beyond the original 5,000-position plan, spokesman Lou Gellos confirmed to TechFlash, without saying how much further they go.

Affected employees are slated to be notified today. The company isn’t saying which product groups are part of the cuts, but Gellos said it’s “pretty much across the board.” In a prepared statement quoted by PaidContent.org, the company appeared not to rule out the possibility of further job cuts, saying that “continuing to manage our businesses closely, as we always do, can mean additional headcount adjustments.”

Microsoft CEO Steve Ballmer had said in May that the company was almost, but not quite completely, finished with the planned 5,000 job cuts at that point. Microsoft has continued to hire in some areas even as it has cut back in others, reducing the net effect of the job reductions.

The company reported 91,000 direct employees as of Oct. 23, down from a peak of more than 95,000 earlier this year. The numbers do not include contract workers who work on projects for the company through third-party agencies. Those contract workers have previously been affected by job cuts and wage reductions.

 

 

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