As Microsoft Corp approached its 2022 fiscal year, the tech giant was announcing new, exciting updates. One of the foremost among them was that Microsoft was slowing its recruitment process. “As we approach this fiscal year (2022), there are certain things that Microsoft wants to ensure,” said a statement from the giant tech company. “One of them is ensuring that the opportunities and resources at Microsoft are properly aligned.”
It is pertinent to mention here that Microsoft has a history of making massive changes at the beginning of every fiscal year. Be it in the administration or in the internal teams, the tech giant makes subtle resolutions and changes in its operational strategies by the beginning of every new fiscal year. In 2022, the fiscal year of Microsoft kicks off on July 1st.
Microsoft Confirms its “Slow Hiring Initiative”
In a recent statement, a Microsoft correspondent made a public statement about the new strategies that the company is looking to consider as it begins a new fiscal year. “All new hirings will be approved by the Executive Vice President at Microsoft, Rajesh Jha,” said the statement. Furthermore, the statement said that the leadership and VPs will look into every new employee who is hired. “The leadership will ensure that the new recruitment is accurate and is in line with the new strategies at Microsoft.”
Furthermore, the correspondent noted that slowing down the hiring process is a unanimous decision of the tech company’s leadership. “The main concern of Microsoft is the financial volatility,” noted the statement, hinting at the anticipated financial recession.
Other Giant tech Companies are Also Slowing Their Hiring Process
By the mid of 2022, we had seen that numerous other tech companies have taken similar steps as Microsoft. That is, they have also slowed or ‘partially frozen’ the process of new recruitment. However, the reason also remains the same: Financial recession. In other words, major tech companies are foreseeing financial uncertainty and to cope with that, they are either firing their existing employees or slowing – and even freezing – new hiring.
Apart from Microsoft, other tech companies like Snap Inc, Nividia Corp, Meta Platform, and Salesforce Inc have also slowed down their hiring process. All of these tech giants cite an imminent financial recession as the main reason.
Unlike these other tech giants, Microsoft has adopted a different policy for their existing employees. Earlier in June, a statement from Microsoft stated that the company has doubled the budget for their existing key employees. “This is because the existing key stakeholders at Microsoft can carry on their contributions to the grand objectives and vision of Microsoft,” said the statement.