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itake 5 days ago

Yes… but they are asking why now? Why did Microsoft start with traditional layoffs and then transition into RTO layoffs years later?

johnnyanmac 5 days ago | parent | next [-]

Hard to say. Different regions will have different "tools" to use. For a large round, it's probably because they need to cut a lot of staff ASAP or because they have the offshoring ready to replace them. Paying them off is best in those situations.

If you need to fine cut a few particular teams then poking it with an RTO is better than giving them a severance package. This is all conjecture, but that's probably what those up top are considering with every move.

novok 3 days ago | parent | prev | next [-]

Market dynamics. Everyone is doing some form of RTO now. If you're the only RTO place, then hiring and retaining the people you want will be more difficult. It's a big game of chicken.

fastily 5 days ago | parent | prev [-]

It’s just another tool in the downsizing toolbox. Also traditional layoffs and RTO “layoffs” don’t have to be mutually exclusive, both can easily occur at the same time

itake 5 days ago | parent [-]

you're still avoiding the question. Why does Microsoft decide RTO "layoffs" are the right tool for 2025, but not 2022-2024? Many companies used both tools at the same time. Why did Microsoft wait until 2025?

Longlius 4 days ago | parent | next [-]

Because it's politically expedient. They know the political climate is currently hostile to them requesting H1Bs while doing layoffs. RTO lets them get another round of layoffs without calling them layoffs and avoid the bad PR.

somekindaguy 3 days ago | parent | prev [-]

Microsoft compensates less than other top tech companies and remote work aligns with their lifestyle-first approach to compensation. Being on the early end of RTO would have worked against the perception that Microsoft is "the tech company with good work life balance," but now that most other companies have done it first they can get away with it as just them following the industry trend.