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Microsoft has launched a fresh round of layoffs, terminating employees immediately without severance.
The company stated that the layoffs were based on performance reviews, with affected individuals failing to meet “minimum performance standards and expectations.”
Termination letters obtained by Business Insider reveal that impacted workers must surrender access to Microsoft systems, accounts, and buildings on their final day. Healthcare, prescription, and dental benefits will also be discontinued immediately, according to MSN.
Employees confirmed that they would not receive severance pay, highlighting the company’s increasingly strict approach to performance management.
The termination letters also included instructions to return all company property, including access cards, corporate credit cards, and any Microsoft-issued hardware or software.
Microsoft has emphasized that former employees’ future job applications will be reviewed based on their past performance and the nature of their termination, potentially limiting their chances of reemployment with the company.
A Microsoft spokesperson defended the policy, noting that the company focuses on high-performance talent and takes appropriate action when employees do not meet expectations.
The layoffs span several divisions, including Security, Experiences and Devices, Sales, and Gaming, though Microsoft suggests these cuts may not drastically reduce overall headcount, as many roles are typically backfilled.
As of June, Microsoft employed roughly 228,000 full-time staff. Terminated employees are also required to delete any company data stored on personal devices and comply with their Microsoft Employee Agreement to maintain confidentiality even after their departure.
