REDMOND (dpa-AFX) - Software giant Microsoft Corp. (MSFT) disclosed in a regulatory filing on Thursday that it will cut 2,850 more jobs globally in fiscal 2017. That's in addition to 1,850 job cuts, primarily in the smartphone hardware business and sales, announced in May.
'We periodically evaluate how to best deploy the company's resources. In the fourth quarter of 2016, management approved restructuring plans that would result in job eliminations, primarily across our smartphone hardware business and global sales. In addition to the elimination of 1,850 positions that were announced in May 2016, approximately 2,850 roles globally will be reduced during the year as an extension of the earlier plan, and these actions are expected to be completed by the end of fiscal year 2017,'the company said.
In connection with the restructuring plans, the company incurred restructuring charges of $501 million in fiscal year 2016, including severance expenses and other reorganization costs. It does not expect to incur additional charges for these restructuring plans in subsequent years.
In June 2015, the company's management approved a restructuring plan that eliminated approximately 7,400 positions in fiscal year 2016, primarily in its smartphone hardware business and global sales.
As of June 30, 2016, the company employed approximately 114,000 people on a full-time basis, 63,000 in the U.S. and 51,000 internationally.
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