Ballmer's e-mail to employees regarding layoffs

[ricanflow]

Microsoft makes so much proft and revenue....they shouldint have to let ANYBODY go.

 

[hikaricloud]

Yeah, but it's Microsoft. They aren't hurting. Maybe their profits will be down a little bit next quarter, OH NO. Microsoft makes products that almost everyone uses. They'll be fine in this recession.

 

[synergy]

Microsoft makes so much proft and revenue....they shouldint have to let ANYBODY go.

I agree and I think that's the point of peoples' anger here. Just cause their profits are down doesn't mean they need to add to the already horrible unemployment. Plus, they have billions just sitting in banks that investors have been nagging them to spend/invest for years. Why don't they use some of that to weather the storm. It's a pity-party move if you ask me.

 

[CntdwnToExtn]

I agree and I think that's the point of peoples' anger here. Just cause their profits are down doesn't mean they need to add to the already horrible unemployment. Plus, they have billions just sitting in banks that investors have been nagging them to spend/invest for years. Why don't they use some of that to weather the storm. It's a pity-party move if you ask me.

Any one of the 'Big 3' has done more Revenue and Profits than Microsoft can even fathom.
The 3 had $30-$50Billion cold hard cash each just sitting there...now they are (well, were) down to their last few Billion in a matter of a few years.
Microsoft has $10B in cold hard cash. If they start bleeding, they don't have the luxury of being able to burn through money.
Sure the Investors want them to spend the money on technologies. But when the market isn't going to buy the technologies because no one is spending money...it's money wasted.

They are covering their arses to ensure they get through this with minimal amount of damage. Once the economy changes, they will again hire people.
It's simple business. Cut at all costs necessary to stay afloat, ride it out, grow once again.

Ballmer isn't getting rid of people because he's an arse. He's getting rid of people temporarily to keep pushing forward, adjusting and predicting how he thinks the economy will be; eventually lifting the job freeze.

 

[hikaricloud]

I think developing/build cars can be a bit more expensive than a guy sitting behind a desk tinkering with an operating system.

Yeah, when everything is "better" they'll hire people...forgetting that the people they already fired are screwed.

Find out how much Ballmer is lining his pockets with, because I guarantee you, he's lining them.

 

[synergy]

I see what you're saying Countdown, but it's more likely true than not that this move isn't entirely necessary for them at this time. Sure it's gonna be 18 months of layoffs which could end up having minimal impact, but they are still in the black. The big 3 on the other hand are, and have been for years, in the red. Also, as Hikari said, how much is Ballmer cutting his salary, whereas the big 3 officers are taking huge hits (again a publicity move, but still doing it nonetheless).

 

[Harper]

Yeah, that would have made me feel better about getting sacked while he keeps getting richer... [/sarcasm]

Dear Mr Ballmer,
Just fire me and get this **** over and done with.
Thank you.

 

[CntdwnToExtn]

I think developing/build cars can be a bit more expensive than a guy sitting behind a desk tinkering with an operating system.

Yeah, when everything is "better" they'll hire people...forgetting that the people they already fired are screwed.

Find out how much Ballmer is lining his pockets with, because I guarantee you, he's lining them.

Yes, cars are more expensive but Mulally and Wagoner are still just sitting behind a desk 'tinkering' with an engine.

I doubt the people that get fired will be 'screwed'. I mean, having Microsoft on your resume means something. I'm sure Microsoft doesn't pay minimum wage either, so it's not like they will be living on the street. The good ones will get a job right away, the others will get something that isn't shameful. More than likely the "Baby Boomers" will go first, who are around the retirement age. MS said they will be giving packages and benefits.

Yes, Ballmer is definetally getting a CEO wage of probably $500K w/ the $$$ bonus. No doubt about it.
He also runs a Global 150 company. He has spent years being 'Mentored' by Bill Gates to prep himself for what is being thrown at him. An average person just can't step into this kind of role.

I see what you're saying Countdown, but it's more likely true than not that this move isn't entirely necessary for them at this time. Sure it's gonna be 18 months of layoffs which could end up having minimal impact, but they are still in the black. The big 3 on the other hand are, and have been for years, in the red. Also, as Hikari said, how much is Ballmer cutting his salary, whereas the big 3 officers are taking huge hits (again a publicity move, but still doing it nonetheless).

Yes, I agree it is not a 'necessity' for them to be doing this. Quite frankly, I'm scared as poop right now because I'm in the auto industry. I want to buy house, but darn scared because I"m not sure how long my job will last.
But, the new wave of "Pro-Acting" is proving to be a benefit overall for many, many companies (introduced by the Japanese) in order to keep away from the "Red-Zone".
Ford, GM, Chrysler were told many times to take action against Honda and Toyota. Every single time they said "Meh", which resulted in where they are now. They are "Reacting" which has now cost hundredes of Billions.

Ballmer isn't saying "Meh". Ballmer is looking for the worst possible senerio and acting on that. Microsoft is a Phenom (no pun intended on a computer forum lol) in the computer industry...which ironically is the first to go in a lot of cases (as in the #1 crumbles first - look what happened to AIG. Trillion dollar company was the first to get the bailouts)

Multi-Billion dollar companies may be rich...but when your that big, Billions can leave just as fast as they come in.

 

[Trotter]

I'm sure Microsoft doesn't pay minimum wage either, so it's not like they will be living on the street. The good ones will get a job right away, the others will get something that isn't shameful. More than likely the "Baby Boomers" will go first, who are around the retirement age. MS said they will be giving packages and benefits.

It doesn't matter what MS paid, they will only get to draw up to the max for their state... which will be a lot less than what they made.

Jobs? What jobs? If there are no jobs, it doesn't matter how great your resume is or who is on it.

It would be great if MS used attrition, but "1400 today" is not attrition. The gaming division took big hits and I seriously doubt those people are Boomers.

$500K w/ the $$$ bonus

Seven figures if it is a penny, plus he will have a really nice package for when he leaves.

Ballmer isn't saying "Meh". Ballmer is looking for the worst possible senerio and acting on that.

Ballmer is slashing the throats of his people to try to widen his margins, pure and simple. Microsoft is still making money, not losing it. So why sacrifice the very people who are generating that positive cash flow, other than to coast and come out even farther in the black. It is nothing more than the Microsoft way... rob, pillage, and steal as long as you come out on top. Reminds me a lot of the mafia in the '60s.

 

[hikaricloud]

And Cntdwn, you're right. I couldn't keep up with his heartless butchering of jobs just to gain more profits.