Published: Friday, 23rd January, 2009 2:30pm

Microsoft job fears

Print | Email

SOME staff at Microsoft in Reading could face redundancy after the company announced 5,000 job losses worldwide.

A spokesman said 2% of the UK workforce will go, but would not confirm timescales nor how many of the 2,000 staff at the Thames Valley Park HQ could lose their jobs.

The redundancies mark the first major downturn in the company's history.

Its chief financial officer, Chris Liddell, said: "Economic activity and IT spend slowed beyond our expectations in the quarter, and we acted quickly to reduce our cost structure and mitigate its impact.

"We are planning for economic uncertainty to continue through the remainder of the fiscal year, almost certainly leading to lower revenue and earnings for the second half relative to the previous year."

Reading Conservative councillor and blogger Richard Willis flagged up the potential job losses earlier this month, and today wrote: "This cut is less than anticipated but sadly will certainly include Microsoft's major headquarters in Thames Valley Park, Reading.

"The economic climate has even hit this IT giant and for the first time it is having to lay people off. What is even more worrying though is the perceived lack of direction in the company over the next year."