Microsoft Asks For a Refund From Laid-Off Workers [updated] 424
An anonymous reader writes "The large print giveth, the small print taketh away. Microsoft, which recently laid off 1400 employees, is now claiming that some of those lucky schmoes were inadvertently overpaid on their severance package. A letter from the company, which was subsequently circulated on the internet, states: 'We ask that you repay the overpayment and sincerely apologize for any inconvenience to you.' Microsoft has confirmed the authenticity of the letter, but it's not known what the amounts in question are, or how many of the 1400 were affected." Update: 02/24 14:00 GMT by T : VinylRecords writes "Well, now Microsoft has recanted, saying that the situation has resulted in unfortunate amounts of bad press and public relations. 'This was a mistake on our part,' said a Microsoft spokesman in an e-mailed statement. 'We should have handled this situation in a more thoughtful manner.'"
Large, unmarked bills. (Score:5, Informative)
"A letter from the company, which was subsequently circulated on the internet, states: 'We ask that you repay the overpayment and sincerely apologize for any inconvenience to you.' Microsoft has confirmed the authenticity of the letter, but it's not known what the amounts in question are, or how many of the 1400 were affected."
How's that any different than when the government overpays you?
Re:I think I am not unique in saying.... (Score:5, Informative)
I'm not a Microsoft employee, but I'm friends with many - and I've intern'd there a number of times.
Microsoft doesn't treat their employee's like "cogs".
As a OSS zealot, I expected to hate my time there - but they really do treat their employees well. Just because they had their first-ever layoff doesn't mean that they treat their employees badly.
Why some people think MS is incompetant (Score:3, Informative)
Even though they have tons of cash in the bank, they risk bad publicity to get the overpayment back
Instead of declining comment, they admit the letter is valid, thus proving a general lack of confidence
Re:Were the checks paid on Windows 95 OS computer (Score:4, Informative)
they probably are owed it (Score:5, Informative)
Generally you do have an obligation to return someone else's property that accidentally came into your possession. You'd be guilty of theft if you knowingly kept it despite knowing that it came into your possession by accident; if you had reason to believe it was legitimately yours, you could plead not guilty to theft, but would probably still have to return it if a court determined it wasn't rightfully yours (i.e. not paid as part of a legitimate contract, or given as a gift). In this case if the employees had signed paperwork specifying a particular amount of money, and they got a larger amount, they would have trouble arguing that they believed it to be anything but an accidental overpayment. I guess you could try arguing that it was a legitimate gift from Microsoft, but I doubt that would succeed.
Re:Haha (Score:5, Informative)
For those that don't get it (like me):
http://www.27bslash6.com/overdue.html [27bslash6.com]
and then it "sold" [ninemsn.com.au] on ebay [greatblogabout.com].
Re:Payroll is in North Dakota? (Score:4, Informative)
Microsoft has a nice facility in Fargo, from when the bought Great Plains Software a number of years ago. Great Plains did accounting software so it makes sense that payroll could be done there.
Re:Why some people think MS is incompetant (Score:3, Informative)
It may not be as crucial in this economy, but every company has to hire. This is bad press to future prospective employees. And the kind of talented IT professionals that any successful software company must employ are just the type to read this type of press.
They may have a substantial market share, but they've created an environment where customers expect constant updates and scheduled major upgrades. In order to compete they must have the human capital.
Stop being such a brown-nosing, lying shill (Score:5, Informative)
It wasn't their first-ever layoff. Just the first that ever made such a huge media splash.
Re:No accident (Score:5, Informative)
What do you mean it's in my contract? You mean that 50 page thing full of legal jargon? Who has time to read that? I just scrolled down and clicked "I accept."
I see - you mean that legal document by which I am no longer bound* now that the agreement has been terminated by you. kthxbye!
(*) IANAL YMMV E&OE IMHO GTFO STFU
Re:Had a previous employer overstate wages (Score:3, Informative)
You might want to check the statute of limitations. If there is no legal judgment, just an "administrative note" in your file somewhere, you may be in the clear in a few years.
Re:Payroll is in North Dakota? (Score:1, Informative)
Uh... better check your facts... Microsoft is a major employer in Fargo N.D. Seems that when they purchased a particular business software company, Great Plains maybe? they kept that team in Fargo......
Yep (Score:3, Informative)
The way a court would view this would have almost entirely to do with what had (or hadn't) been agreed on beforehand. If their employment contract or severance paperwork specified a dollar amount either explicitly or implicitly as a percentage of salary, then they'll need to pay the money back. It is clearly an error in that case, and you agreed to a different amount. It'd be no different than if in a store you accidentally hand a cashier a $100 bill instead of a $10 one for a $10 item. They don't get to keep the extra, they need to give you back $90.
Now if there was no agreement on amount, then MS is probably SOL. If they just said something like "You'll get a severance bonus upon termination," without bothering to state the amount, then the employees can keep what they got. MS will only get it back if the employees are nice about it. However, this situation isn't real likely.
My bet is that they probably did have an agreement in place before hand, most of the time when there's something like this there is a preexisting agreement. In that case, the employees are going to have to give the money back.
Re:Payroll is in North Dakota? (Score:3, Informative)
The letter asks for repayments to be sent to Fargo, North Dakota.
Fargo is their Great Plains business software campus.
I always wondered how their business software "Project Green" was turning out.
rd
Re:No accident (Score:5, Informative)
http://en.wikipedia.org/wiki/Studies_related_to_Microsoft [wikipedia.org]
You mean the "Get The Facts" study that, like all the others, has been widely ridiculed for its inaccuracy? Try actually producing a good product instead of resorting to misinformation to get sales.
Re:No accident (Score:2, Informative)
Re:Large, unmarked bills. (Score:5, Informative)
Earth, in the nation of the United States. Trial by jury is a constitutional right assured by the 7th amendment. "In Suits at common law, where the value in controversy shall exceed twenty dollars, the right of trial by jury shall be preserved, and no fact tried by a jury, shall be otherwise re-examined in any Court of the United States, than according to the rules of the common law."
To get a bench trial (one where the judge makes the ruling), both sides must agree to it. The default is actually trial by jury. Companies generally prefer to use bench trial to avoid jury bias and speed up proceedings, but either side has an absolute right to let it go to a jury trial. The only exception is when the suit requires an equity judgement (non-monetary awards, for example an injunction or specific performance).
In this case there is no issue of equity, so if either side refused to waive a trial by jury it would go to a jury trial. And in this case the defendant would be a fool to waive it, unless they have something signed by MS with the amount they were paid. It would be an extremely rare jury that wouldn't tend to helping the guy out of work, especially in liberal Washington.
Re:Payroll is in North Dakota? (Score:1, Informative)
Microsoft Uses SAP not Dynamics.
And they extended their campus in Fargo completing it this year to close up the Denmark development site after 2011 Dynamics ships (6.0). They already fired 100 people there this yea
Re:No accident (Score:5, Informative)
Usually, the "official" termination date occurs at the end of the severance period. Most companies retain the "right" to recall you from your enforced sabbatical during that period.
This is not accurate. Severance is a post-employment payment and does not occur until after your termination of employment. As such, companies do not retain the right to recall an employee to work. They do on occasion enfore certain other rights during severance such as non-compete (where allowed, and sometimes even where not allowed), non-disparagement, non-solicitation, etc. Assuming Microsoft has completed all payments to individuals and now wants to recoup, they are likely going to have a hard time doing so as it will require the willing agreement of the person who got the payment - and how likely is that. Without voluntary repayment, they will have no recourse other than to sue, and that would likely end up being a big drain on resources, cost more than it would recoup and big a huge PR disaster.