Satya Nadella claims Microsoft is boosting compensation to keep staff.
The only reason the CEO of the company announced a wage increase is to keep the company’s talented employees at bay.
Digital Desk: This is fantastic news for Microsoft’s employees. In an e-mail to staff, the CEO said that Microsoft had “almost increased the global merit budget.” Microsoft is also raising salaries for employees who are in the middle of their careers there. The only reason the CEO of the company announced a wage increase is to keep the company’s talented employees at bay.
Microsoft workers are highly sought after in the business for the incredible work they undertake to empower Microsoft’s customers and partners. The leadership team members’ efforts are recognized and greatly valued at Microsoft. invests in each of its workers for the long term.
In February 2022, Microsofts, along with a few other corporations including Amazon, increased the maximum basic pay for corporate and tech personnel from $160,000 to $350,000.
Microsofts and Amazon both prioritized attracting and retaining outstanding young people, and both companies are increasing their compensation expenditures to do so. It is apparent that major corporations or multinationals hire talented employees rather than pay them a bigger salary.
Satya Nadella, Microsoft’s CEO, told staff that the company is making “a considerable additional investment in compensation programs that goes considerably beyond its typical budget.”
He continued, “The global merit budget, in particular, is virtually double. Merit budgets will differ in each country, based on local market data, with the most significant increases concentrated where the market wants and at the early to mid-career levels. Indeed, the rise in pay will benefit the company’s employees. Employees with higher designations, on the other hand, may not profit from the salary increase as much as those who have recently joined.”
Google raised the pay of four of its senior executives earlier this month. Their remuneration was boosted from $650,000 to $1 million at the start. Ruth Porat, the chief financial officer, Prabhakar Raghavan, the senior vice president in charge of Google search, Philipp Schindler, the senior vice president and chief business officer, and Kent Walker, the president of global affairs and chief legal officer, are among those who have received promotions.
The corporation did not provide any pay numbers that could reflect the new monetary compensation levels. A recent graduate working as a software engineer will earn roughly $163,000, according to Glassdoor (approx Rs 1,26,55,200).
“While we’ve factored in the impact of inflation and increased costs of living,” Microsofts continued, “these improvements also highlight our appreciation for our world-class employees who support our purpose, culture, customers, and partners.”
Not just Microsoft, but Amazon announced a salary raise for its staff in February of this year. “Amazon increased the maximum base compensation for business and IT staff from $160,000 to $350,000.”
The post of Microsofts CEO Satya Nadella to ‘almost treble’ staff compensation to keep them originally appeared on BGR India.