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Digital Transformation

Microsoft to axe 18,000 jobs to pave way for Nokia integration and better 'agility'

By Ishbel Macleod | PR and social media consultant

July 17, 2014 | 2 min read

Microsoft has revealed that it will be cutting 18,000 jobs in the coming year, although there will be appointments made in “strategic areas”.

The news follows mere days after an insider suggested that over 5,000 jobs would be lost at the consumer electronics giant, with marketing and engineering expected to see cuts.

Satya Nadella, CEO of Microsoft, announced the moves in an email, stating that 13,000 of the “employees whose jobs will be eliminated will be notified over the next six months”.

The cull will see about 14 per cent of Microsoft’s workplace leave, with the letter stating that the Nokia integration with the Microsoft team is one of the areas being covered by the job losses.

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However, Nadella said: "It's important to note that while we are eliminating roles in some areas, we are adding roles in certain other strategic areas."

He added that the changes come as the organisation looks to “drive greater accountability, become more agile and move faster”.

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