How are things actually holding up with Microsoft layoffs in Italy?

After Meta, Yahoo and Ubisoft, it was Microsoft’s turn. The crisis of the IT giants has opened a new front for the Redmond company: 10,000 layoffs worldwide, some of them also in Italy. In fact, 59 workers, including 16 managers, are at risk of losing their jobs: 52 in the Milan office and 7 remaining in the Rome office.

Microsoft, road to layoffs in Italy

A global reorganization plan that should ensure Microsoft saves more than a billion dollars, including staff cuts and space reduction. In a letter sent to the unions and the Ministry of Labour, last March 30, the multinational company announced the start of the procedure for the dismissal of its Italian offices. As confirmed by union sources contacted TodayThe layoffs concern various parts of the company, from business figures to sales, marketing and customer support.

causes of the crisis

It’s a new “line” for the high-tech industry, which must be seen in a global scenario where layoffs are pouring in, from executives to simple workers, where all major corporations provide a major overhaul of their workforce. So how does a giant like Microsoft motivate these cuts in Italy? as confirmed Today Explaining the reasons for this decision from the union sources in the document it sent to the abbreviations, the company underlined that there was a crisis period in the entire sector with the end of the pandemic: “During the pandemic, household and workplace expenditures increased a lot due to the need to work remotely for IT products. However, after two years of growth, sales shrank. Spending on IT products by companies and consumers has decreased significantly recently, and this is expected to happen even in 2019.

hypotheses about the future

In the document sent to the unions, Microsoft also mentions that “macroeconomic and geopolitical conditions are getting worse, combined with high inflation, rising energy prices and increasingly fierce competition,” and forcing the giant to reconsider its strategies. A change of wording to the workers’ skin sparked the anxiety of the abbreviations in question. While procedures globally are reaching significant volumes, the war in Italy, where Microsoft employees total 1,080, has only just begun. The first meeting with the unions is scheduled for April 19 at the headquarters of Assolombarda, an association that will support the Italian branch of the multinational in the procedure.

This will be the beginning of a negotiation where the unions will try to save places at risk: “The procedure will follow a specific process – describe the sources Today has contacted – we will present a variety of proposals, obviously starting with the internal redeployment of unions. Even if we know which will not be easy, as in other similar situations. such as reduced layoffs or incentives to leave, it is possible for negotiations to find a meeting point”. A hypothesis that abbreviations would be put on the table even if the company clarified in its letter to the unions that it “cannot adopt social safety nets and is unlikely to reclaim surpluses or use alternative employment measures”. It’s a scenario already seen for tech giants: After the outbreak of the pandemic came a sharp drop in sales and the need to lay off staff, a crisis that started from afar and now affects us very closely.

Source: Today IT

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