Microsoft terminates contracts with hundreds of contractors ahead of schedule and cuts costs

Microsoft is canceling contracts with hundreds of contractors in the field of recruiting employees to the company. Reports about it business insider citing sources familiar with the situation. According to them, the corporation notified hundreds of contractors in this area about the early termination of contracts with them – cooperation will be terminated as early as Friday, August 12.

Microsoft, like other technology corporations, uses third-party contractors in many areas – they work closely with the staff of the corporation itself, but are not officially considered employees of the corporation. Therefore, many benefits do not apply to them, and the contract with them can be easily terminated.

This is not the first sign that Microsoft is cutting costs. Previously, the company has already reported that it will cut 1.8 thousand employees (that is, about 1%) and will hire fewer new ones. Business Insider also writes that the company is shutting down its customer experience division, which was engaged in the return of users who had previously abandoned Microsoft services. In this unit, 200 people worked, according to the publication, they were asked to look for another position in the company or quit. As writes The Wall Street Journal Microsoft also urged employees to cut some expenses, including those for business travel, corporate events and training, citing sources.

Yana Rozhdestvenskaya