Microsoft plans special reward for employees, to give cash award along with annual bonus
Aug 1, 2024, 15:13 IST
About a month back, Microsoft made headlines for reportedly carrying out another round of layoffs. A report in Geekwire had said that various employees across departments lost their jobs. A number of employees had also shared their experiences on LinkedIn, talking about how they lost their jobs.
Now, the Satya Nadella led company is making headlines once again. But this time, for good reasons. The tech company recently announced that it is planning a special cash reward for some of its employees.
Talking about the special bonus, it will range from 10 percent to 25 percent of the employees’ annual bonuses, and aims to reward employees for the company's fiscal year performance.
But will all Microsoft employees be getting the cash bonus? Not really. The reward excludes executives, focusing instead on lower-level employees who will receive higher percentage bonuses to ensure a fair distribution. While Microsoft has not disclosed specific amounts or the overall budget for these bonuses, it is clear that many employees will see a significant boost to their income, with some receiving thousands of dollars or more.
Kathleen Hogan, Microsoft's Chief People Officer, shared the news in a companywide memo, an ET report reveals. "The senior leadership team and I want to recognize the tremendous work and impact of our people who delivered a terrific year of solid execution and world-class innovation," she wrote, highlighting the role employees played in the company's success.
Hogan further elaborated, "All Microsoft employees in levels 67 and below, including hourly and equivalents, who receive FY24 rewards will be eligible to receive a special one-time only cash award in addition to their annual rewards. This special one-time cash award will scale based on the employee’s FY24 impact."
Reflecting on the company's recent challenges and triumphs, Hogan noted, "We recognize our FY24 success is a direct result of the incredible focus, creativity, and collaboration of our people and our collective efforts as One Microsoft. We are grateful for your dedication to our mission so that together we can continue to empower everyone around the world."
The company's revenue reached USD 64.7 billion, marking a 15 percent increase (16% in constant currency). Operating income was USD 27.9 billion, also up 15% (16% in constant currency). Microsoft’s net income rose to USD 22.0 billion, a 10 percent increase (11% in constant currency), and diluted earnings per share were USD 2.95, reflecting a 10 percent rise (11% in constant currency).
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Now, the Satya Nadella led company is making headlines once again. But this time, for good reasons. The tech company recently announced that it is planning a special cash reward for some of its employees.
Microsoft’s gift to employees
Microsoft recently announced a unique one-time cash award for its employees. This comes after the company announced its financial results for the quarter ending June 30, 2024.Talking about the special bonus, it will range from 10 percent to 25 percent of the employees’ annual bonuses, and aims to reward employees for the company's fiscal year performance.
But will all Microsoft employees be getting the cash bonus? Not really. The reward excludes executives, focusing instead on lower-level employees who will receive higher percentage bonuses to ensure a fair distribution. While Microsoft has not disclosed specific amounts or the overall budget for these bonuses, it is clear that many employees will see a significant boost to their income, with some receiving thousands of dollars or more.
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Hogan further elaborated, "All Microsoft employees in levels 67 and below, including hourly and equivalents, who receive FY24 rewards will be eligible to receive a special one-time only cash award in addition to their annual rewards. This special one-time cash award will scale based on the employee’s FY24 impact."
Reflecting on the company's recent challenges and triumphs, Hogan noted, "We recognize our FY24 success is a direct result of the incredible focus, creativity, and collaboration of our people and our collective efforts as One Microsoft. We are grateful for your dedication to our mission so that together we can continue to empower everyone around the world."
Microsoft discloses financial results
As mentioned already, Microsoft unveiled its financial results for the quarter ending June 30, 2024 recently. The results showed significant growth compared to the same period last year.The company's revenue reached USD 64.7 billion, marking a 15 percent increase (16% in constant currency). Operating income was USD 27.9 billion, also up 15% (16% in constant currency). Microsoft’s net income rose to USD 22.0 billion, a 10 percent increase (11% in constant currency), and diluted earnings per share were USD 2.95, reflecting a 10 percent rise (11% in constant currency).