Microsoft hosted an invitation-only event in Davos, Switzerland, on Tuesday, featuring a performance by Sting. Top executives were among the 50 attendees. It may have been a highlight of the World Economic Forum (WEF) for most people, but the Wall Street Journal reports that the timing of the event has raised some eyebrows since the tech giant announced plans to lay off 10,000 employees the following day.
The layoffs – prompted by the global economic downturn – will be the most significant round for Microsoft in eight years. News of the concert alongside the layoffs has left employees disappointed and frustrated; many felt the timing of the concert was inappropriate given the circumstances.
After all, private shows by big stars like Sting can incur high costs. According to Rolling stonesome charged between $100,000 and $500,000 just for virtual events last year.
Microsoft has not commented on the timing of the concert or the announcement of the layoff. However, in a blog post, Microsoft CEO Satya Nadella said the company would be transparent throughout the process and continue to hire people in “key strategic areas.”
Microsoft’s decision to stage a concert before announcing layoffs may sound tone-deaf, but the software and electronics giant isn’t alone in seeing a headcount cut. It is clear that the technology industry suffers from a volatile economy and companies have to make tough decisions to stay afloat. Other top technology companies have recently cut thousands of jobs, including 18,000 at Amazon, 10% of the Salesforce workforce and 3,000 employees at Goldman Sachs.
