Microsoft is going to sack 18,000 employees

The firm will wave goodbye to staff at a cost of $1.6billion

Microsoft was initially expected to reduce its workforce by about 6000, but sackin' Satya has now revealed the figure is three times as high...

Microsoft has revealed the extent of its planned job cuts, announcing that a staggering 18,000 positions at the firm will become redundant over the next year.

The consumer electronics company employs around 127,000 people worldwide, which means the approaching tidal wave of sackings will amount to just over 14% of Microsoft's entire workforce.

According to Microsoft, 12,500 of the jobs set to be booted will belong to Nokia staff. Microsoft bought the Finnish mobile manufacturer back in April, and says the job cuts are part of its strategy to absorb the company.

Most of the firings are going to take place before the new year, with any remaining job-holders marked for the sack assured to receive their goodbye waves by 30th June 2015 at the latest.

The announcement came via a press release sporting the most euphemistic headline we may have ever seen: '"Microsoft announces steps to simplify organisation and align devices strategy.' That's cold, man.

Microsoft's new CEO Satya Nadella wrote an open letter to all of his employees, outlining his thoughts on the move.

"My promise to you is that we will go through this process in the most thoughtful and transparent way possible," says Nadella.

"We will offer severance to all employees impacted by these changes, as well as job transition help in many locations, and everyone can expect to be treated with the respect they deserve for their contributions to this company."

"Making these decisions to change are difficult, but necessary," says the Microsoft head, in his closing statement.

According to the press release, the job cuts are expected to cost Microsoft somewhere in the region of $1.1-1.6 billion USD (£643-935 million) over the next four quarters, most of which is severance pay.

Source Microsoft