Overview

• Microsoft has rolled out a globally consistent Performance Improvement Plan (PIP) to address underperformance with clear expectations and timelines.
• Employees exiting on low performance metrics or during a PIP will face a two-year ban on rehiring and internal transfers.
• Managers are being equipped with virtual training sessions and AI-supported tools to handle performance reviews and challenging conversations more effectively.
• The updated policies aim to create greater transparency in reward allocations, with visible payout metrics and guidance on differentiating performance outcomes.
• These changes align with a broader tech industry trend prioritizing productivity and stricter performance standards over previous expansive perks.