In Short
- Microsoft CMO told employees that there is a way to get a salary hike.
- The company announced its decision of not giving a hike to salaried employees this year.
- However, Microsoft will continue ‘investing in its employees through bonuses and stock awards’.
By Divyanshi SharmaMicrosoft’s decision to give no salary hikes this year left a lot of employees angry. An employee’s Twitter post also made headlines in which the tech worker had called Microsoft’s decision a ‘slap in the face’. And now, Microsoft CMO (Chief Marketing Officer) has told employees that there is a way to change this and get a salary hike. According to a report by Fortune, Microsoft CMO Christopher Capossela addressed employees in an internal conversation and told them how they could get a pay raise.
Microsoft CMO on employees getting a pay raise
As per the Fortune report, Capossela wrote in an internal communication that the way to increase everybody’s total compensation is by working to get the company’s stock price up.
“The most important lever for almost all our employees’ compensation upside is the stock price,” he said and added, “So great quarterly results contribute to making the stock attractive, which in turn drives everyone’s total compensation up.”
And this year, the company’s stock price is already up by 33 percent, the report added.
Satya Nadella announced no salary hike
A couple of days back, Satya Nadella had announced Microsoft’s decision not to give any pay hikes this year via an internal email. The email was seen by Insider. It read that ”this year, the economic conditions are very different across many dimensions” and Microsoft does not take “decisions lightly.”
As a result, the company added that it “will have salary increases for certain hourly or equivalent roles,” but it won’t “have salary increases for full-time salaried employees this year.”
In addition to this, Microsoft promised to continue ‘investing in its employees through bonuses and stock awards’. The company also said that it is committed to providing its employees with opportunities for growth and development.
Layoffs at Microsoft
In January this year, Microsoft announced laying off 10,000 employees, a decision that impacted people globally. Various employees took to LinkedIn and while some were sharing their layoff story, others wasted no time and started looking for better opportunities.
“Today, we are making changes that will result in the reduction of our overall workforce by 10,000 jobs through the end of FY23 Q3. This represents less than 5 percent of our total employee base, with some notifications happening today. It’s important to note that while we are eliminating roles in some areas, we will continue to hire in key strategic areas. We know this is a challenging time for each person impacted. The senior leadership team and I are committed that as we go through this process, we will do so in the most thoughtful and transparent way possible,” CEO Satya Nadella noted in an official blog post.
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