Microsoft Corp it won’t raise salaries for full-time employees this year and is reducing its budget for bonuses and stock awards, Insider reported Wednesday, citing an internal email from the CEO Satya Nadella.
The tech giant did not immediately respond to a Reuters request for comment.
“Last year, we made a significant investment in compensation driven by market conditions and company performance, nearly doubling our global merit budget… economic conditions are very different this year in many dimensions,” says the report citing Nadella.
In January, Microsoft said it would lay off 10,000 workers, adding to the tens of thousands of previously announced layoffs in the tech sector as it aims to slow growth in a turbulent economy.
Microsoft has now focused on generative AI, an area the industry sees as a bright spot.
In collaboration with the creator of ChatGPT Open AIwhich also received billions of dollars in funding from Microsoft, the tech giant has infused AI technology into its Office products and Bing search engine.
The tech giant did not immediately respond to a Reuters request for comment.
“Last year, we made a significant investment in compensation driven by market conditions and company performance, nearly doubling our global merit budget… economic conditions are very different this year in many dimensions,” says the report citing Nadella.
In January, Microsoft said it would lay off 10,000 workers, adding to the tens of thousands of previously announced layoffs in the tech sector as it aims to slow growth in a turbulent economy.
Microsoft has now focused on generative AI, an area the industry sees as a bright spot.
In collaboration with the creator of ChatGPT Open AIwhich also received billions of dollars in funding from Microsoft, the tech giant has infused AI technology into its Office products and Bing search engine.
