Microsoft cuts hiring plans and reduces a team’s open headcount to 200: memo

According to an internal email and a person with direct knowledge, Microsoft is significantly slowing hiring across the company, Insider has learned — specifically cutting growth plans for ex-Amazon executive Charlie Bell’s much-touted new cybersecurity organization to next Fiscal year that begins in July of the plans.

The cuts in hiring targets that Microsoft’s CFO Amy Hood told executives last week were even more severe than expected.

According to the email, the number of vacancies for Bell’s division for the fiscal year beginning next month has been reduced to 200 – just weeks after Bell unveiled sweeping changes and a new vision for the unit. According to a person briefed on the plans, Bell previously planned to grow its organization by 4,000 in fiscal 2023. Microsoft’s spokesman said the numbers were inaccurate but didn’t provide any new numbers. They added that Bell is likely to hire fewer people than expected, but the company plans to add more than 1,000 employees to the organization in the coming fiscal year.

“As Microsoft prepares for the new fiscal year, it ensures the right resources are focused on the right opportunity. Microsoft will continue to increase headcount in the coming year, with an additional focus on where those resources are going,” the spokesperson said.

The company is cutting hiring targets less than a month after it announced plans to increase employee compensation by at least 25% through performance-based pay increases and annual stock bonus increases for employees below the “partner” level, Insider previously reported. Senior employees receive stock award increases of at least 20% via internal email.

The increases are intended to stem growing dissatisfaction with pay and discourage employees from moving to competitors like Amazon, people familiar with the matter told Insider. Microsoft has kept turnover below 10% over the past year, but there are “niches where turnover is higher,” the company’s chief people officer said in an internal email.

Just 66% of employees in an annual internal Microsoft employee survey this year responded positively when asked if they got a “good deal” at Microsoft (meaning there’s a fair balance between what I contribute to Microsoft and what I don’t get). what I get for it). ” That appears to be down from 73% last year, although Microsoft revised its employee survey this year, so the results may not be comparable.

Many tech companies have announced hiring slowdowns and freezes to prepare for a


. The Facebook parent company Meta z. B. freezes hiring year-round, and Salesforce is slowing hiring and restricting business travel. Coinbase said it would halt the cessation and revoke offers that had already been extended.

Are you a Microsoft employee or do you have insights to share? Contact reporter Ashley Stewart via encrypted messaging app Signal (+1-425-344-8242) or email (

Leave a Reply

Your email address will not be published.