Microsoft Quells Severance Firestorm, Lets Ex-Employees Keep Their Cash

On Saturday we published a letter sent out to some recently laid-off Microsoft employees explaining that they had been overpaid in severance - and that Microsoft wanted some of its money back. Something had clearly gone wrong during Microsoft's first mass layoffs, as we began to receive more reports that ex-employees had gotten similar letters, and that some had actually been under paid. One original tipster has detailed how he felt when he initially got the notice: Right away I was angry because when I got my severance check, I immediately created a budget to stretch this out as long as possible. I know we're in a recession now and I don't know how long I'll be unemployed. And now here comes this letter totally destroying the budget and on top of that, there's no detailed information on how the error occurred, no details breaking down the severance pay. Microsoft initially refused to provide any details on the incident, instead stating that it was a "private matter between the company and the affected people". And then the news began to spread. Since Saturday, well over 300 news outlets have covered the story. Many of them have deemed this to be a huge PR misstep, but it's likely that Microsoft PR never even knew about the letter in the first place, and were only alerted to it after the fact. In any case, it's clear that nobody ever considered how people would react if the letter leaked to the public.