Microsoft cuts contractor pay by 10 percent

Microsoft is definitely in a cost-cutting mood. In its latest effort, the company announced that it is cutting current contractor pay by 10 percent and future contractor pay by 15 percent, reports InfoWorld.

"We held discussions with some of the impacted agencies and settled on the 10 percent reduction based on the economic climate and the need to achieve greater cost reductions," Microsoft said in a statement.

This follows Microsoft's announcement in January that it plans to lay off 5,000 employees. Microsoft employs 96,000 people directly but it does not disclose just how many contractors work for the company. In a conference call with analysts and reporters, Microsoft CEO Steve Ballmer said he'll continue to look for ways that the company can reduce costs.

For more on Microsoft's austerity moves:
- check out this InfoWorld.com article

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