Microsoft Freezes Salaries to Navigate Economic Uncertainty
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Microsoft Corp. has decided to freeze pay for all full-time workers this year to help it navigate macroeconomic ructions, becoming the latest US tech leader to tighten its belt during a time of mounting uncertainty.
Chief Executive Officer Satya Nadella explained in an internal memo the move as necessary to generate “enough yield” to invest in the major platform shift toward artificial intelligence. Microsoft had already raised compensation in 2022, he added. The company will, however, consider raising rates for hourly workers while maintaining a bonus and stock award program without “overfunding” it, Nadella said without elaborating.