Satya Nadella confirmed in an email that Microsoft employees will receive a salary raise soon. The company CEO confirmed the news. A spokesperson for Microsoft said in an email that it has doubled its global merit budget and is giving more money to employees at the middle of their careers.
In an effort to retain their top talent, the big tech companies around the world are hiking their employees’ salaries.
Due to your amazing work to empower our customers and partners, we see our talent in high demand time and time again. The leadership team recognizes and appreciates your impact – and for that, I am grateful. As a result, we are investing in each of you for the long run,” Nadella said in an email to his employees, obtained by Geekwire.
Among the companies that have recently increased pay, Microsoft isn’t the only one. Amazon, in February, doubled the maximum base salary for corporate and technology employees to $350,000, from $160,000 previously. The company wants to attract top talent as well as retain existing staff.
Additionally, Nadella informed the employees the company is going over its normal budget for compensation by “a significant amount”.
According to our plan, we will nearly double the global merit budget. According to local market data, merit budgets will vary by country, and the most meaningful increases will be concentrated on early-career employees and those who are in the market at the time. As a result, all levels 67 and below will receive 25 percent more annual stock ranges. Thus, the hike would mostly affect newly hired employees as well as those who are in the middle of their careers.
It’s likely that Microsoft’s “partner level” employees, such as vice presidents and general managers, will not progress as far as other employees.
The base salaries of four of Google’s top executives were raised back in January from $650,000 to $1 million. Among the top employees who received the hikes were Ruth Porat, Prabhakar Raghavan (in charge of Google search), Philipp Schindler, senior vice president and chief business officer, and Kent Walker, the company’s global affairs and legal chief.