Things Microsoft Doing for Cost Cutting
At January, 22 2008 Microsoft announced its second quarter results for the year 2008. Microsoft’s second quarter revenue is $16.63 billion for the second quarter ended Dec. 31, 2008, a 2% increase over the same period of the prior year. Microsoft is also doing some cost cutting measures to reduce the operating cost and increase the revenue for year 2009. Lets have a look what Microsoft is doing for cost cutting :
- Reducing employee overtime cost.
- Reducing temporary staff pay by 10%.
- Won’t raise the rate it pays for temporary workers who return after a mandatory annual 100-day break.
- reducing total number of hours clocked by temporary workers.
All these measure will affect approximately 50,000 Microsoft employees worldwide. In addition to these measure Microsoft is also talking to several contractor agencies, provides 40,000 to 50,000 contract employee to Microsoft.
Apart from all these cost cutting measures Microsoft is taking but they are continuing to pour money in Online advertising and search to compete with Google.
Source: Microsoft slashes contract worker rates by 10 pct
