Microsoft global layoffs reach RP

MANILA, Philippines—(UPDATE 2) Microsoft Philippines finally revealed that their Philippine operations would be among those affected by the recent global job cuts announced by the software giant.

This was made known after the Microsoft Philippine office said it would be immune from the initial workforce reduction announced in January.

The company currently has 95 employees. It is not known what specific jobs from the Philippines would be mostly affected by the second round of job reductions. Ninety four are based in Manila and one in Cebu.

This was announced by Microsoft CEO Steve Ballmer on May 5 and its effects would target many countries where the software firm operates.

Microsoft Philippines immediately called for a meeting early morning on May 6 to discuss the aspects of Ballmer’s announcement.

But instead of directly letting go of people, Microsoft Philippines Managing Director Rafael Rollan said that within the next two weeks, all of its employees would be offered a voluntary separation program (VSP).

The program would provide applicants three months worth of salaries net of taxes for every year of service, plus one more month for notice.

Rollan said all Microsoft Philippines employees have been given a notice and the application form for the VSP.

By May 15, Rollan and some Microsoft regional executives would make decisions to accept or reject the VSP applications.

“We’re yet to ascertain the number of applications we’ll receive and how many will be accepted,” Rollan said.

Rollan added that apart from the windfall coming from the VSP, those that would apply would also be provided with some linkages and job placements to potential new employers through a human resource firm called DBM.

Microsoft Philippines PR and community affairs manager Mae Rivera-Moreno said the company had tapped DBM to help employees who agree to the program to find other jobs or even start their own businesses.

Despite the job cuts, Rollan said the Philippines remained to be a robust market for the software firm and continues to grow amid the economic crisis.

He also said that none of the upcoming launches of some of several products, notably Windows 7, will be affected. “We’re still gearing up for a big launch toward the end of the year.”

In the event that nobody decided to join the VSP, Rollan said a redundancy program would have to be implemented.

The first batch of layoffs across Microsoft organizations took place in January, affecting 1,400 US positions.

This new round of job cuts will affect 3,000 positions, split evenly between Microsoft’s US and international operations.

Ballmer announced in January that 5,000 jobs would be cut over 18 months.–Alexander Villafania, Abigail L. Ho, INQUIRER.net, Philippine Daily Inquirer