Microsoft leak exposes how management identifies “critical AI talent” among indispensable staffers for retention bonuses

As a tech enthusiast, I’m keeping a close eye on the latest news from Microsoft. Recently, they’ve shared their intention to carry out job reductions across various departments, including their security division, which they’re labeling as performance-based. However, they’ve been somewhat vague about the specifics, not clearly defining the criteria and merits that will guide these cuts.

Though specifics regarding Microsoft’s layoff approach are not fully clear, a confidential document acquired by Business Insider offers insights into the aspects Microsoft managers take into account when evaluating employee performance scores, eventually deciding on whom they will keep within the company.

These documents show that Microsoft asks certain employees to stay by offering retention bonuses, which are usually rewards in stock or cash. The employees are typically those Microsoft values and can’t afford to lose. In these documents, the company often asks questions like “What would happen if this employee left Microsoft?” This way, Microsoft uses these incentives to persuade valuable employees to remain with the company.

Remarkably, these documents contain a distinct part that emphasizes an employee’s significant role in Microsoft’s advancements in Artificial Intelligence. Here’s an example of what it spotlights:

In the scope of AI development being a top priority, could you confirm if this person is crucial AI talent and explain the potential impact on AI projects if they were to leave?

Based on information from a reliable source closely linked with Microsoft, it appears that the question has recently been added to their performance and retention evaluations, focusing specifically on a substantial group within the company. Whether this question becomes a key component of Microsoft’s overall employee retention strategy remains uncertain.

According to a representative from Microsoft who spoke with Business Insider, the company lacks a universal application for granting special stock and cash awards. Instead, individual departments within the company have the autonomy to decide which details to incorporate into their respective forms based on their specific objectives.

In the previous year, it was revealed that a confidential Microsoft document showed higher salaries for employees working on AI compared to those in the Azure and Cloud departments. To give you an idea, the typical AI software engineer could earn as much as $377,611 annually, which is a difference of $120,000 from the average salary in the Azure division.

It appears that Microsoft is reallocating resources, moving certain employees from their Teams chat app division to its Artificial Intelligence (AI) sector to contribute to tasks related to Copilot initiatives.

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2025-01-10 18:39