Techcrunch and CNET reported that Microsoft botched the severance and inadvertently overpaid to some of
its recently laid off employees, and is now asked for the money back. alk about adding insult to injury. Apparently Microsoft has
inadvertently overpaid severance to some of its recently laid off
employees, and is now asking for some of the money back. It’s unclear
how many of the 1400
employees laid off last month were affected, but we’ve confirmed that
it wasn’t a single isolated incident (we’ve contacted Microsoft for a
response). We’re also hearing that some employees may have been
underpaid as well.
While the payroll error must be irritating in and of itself to these
laid off workers (severance is a sensitive subject), it appears that
Microsoft HR isn’t even bothering to explain how it happened (employees
are instructed to call the office, which is closed for the weekend, if
they want to know the details). Given that it was Microsoft HR that
screwed this up in the first place, you’d think they’d at least include
the calculations they made and point out where the error took place.
CNET recently reported
that Microsoft has decided to allow any workers who were
overcompensated to keep the money. The story also notes that around 25
workers were overpaid, and around 20 underpaid. See full coverage here. They decided in a gesture of good will to allow the terminated employees to keep their severance.
Reference:
http://www.techcrunch.com/2009/02/21/oops-microsoft-asks-some-laid-off-workers-to-send-back-part-of-their-severance/
http://www.techcrunch.com/2009/02/23/microsoft-quells-severance-firestorm-lets-ex-employees-keep-their-cash/
http://news.cnet.com/8301-13860_3-10170025-56.html?tag=newsLeadStoriesArea.1
Matt Lalande