Microsoft’s Nadella Avoids Job Cuts Question But After Nokia Assimilation It Seems Inevitable

In a lengthy and open memo to employees regarding Microsoft's future, company CEO Satya Nadella mentioned having to "flatten the organization and develop leaner business processes." That sounds an awful lot like cost cutting measures might be in Microsoft's future, though Nadella managed to dodge an inquiry on whether that will also include job cuts, as the statement strongly seems to imply.

"There will be many opportunities for me to talk more about our specific fiscal plans on the 22nd," Nadella said, referring to the date Microsoft will release its next quarterly earnings report.

Microsoft Sign
Image Source: Flickr (Steve Jurvetson)

It's difficult to imagine Microsoft not cutting any jobs as it attempts to streamline itself, especially after acquiring Nokia's mobile division. At present, Microsoft is home to around 127,000 workers. That's far more than Apple, which has 80,000 employees worldwide, and more than twice as many as Google, which employs in the neighborhood of 50,000 workers.

"Nothing is off the table in how we think about shifting our culture to deliver on this core strategy," Nadella stated in his memo.

Should Nadella go forward with handing out pink slips, it would represent Microsoft's first major round of layoffs in the past five years. As to which division(s) might see layoffs, Nadella didn't offer up any hints. He did, however, squash any rumors suggesting that its Xbox unit might be spun off