Microsoft is cutting 18,000 jobs in the next year, CEO Satya Nadella said Thursday morning in a letter to employees. The cuts represent more than 14 percent of Microsoft’s 127,000-person workforce.
“We are moving now to start reducing the first 13,000 positions, and the vast majority of employees whose jobs will be eliminated will be notified over the next six months,” Nadella wrote. “It’s important to note that while we are eliminating roles in some areas, we are adding roles in certain other strategic areas.”
As a result of the dismissals, Microsoft said, it will incur pretax charges of up to $1.6 billion for severance and related costs over the next four quarters.
On Wednesday, a Finnish daily, quoting anonymous sources, reported thatMicrosoft is planning to cut 1,000 jobs in Finland from its mobile phone unit.
This is a breaking news story. Please check back for updates.
CNBC Staff