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    Microsoft backtracks on ex-staffer paybacks

Software giant Microsoft apologises for the way it handled over-payments

By David Neal, 24 Feb 2009 at 15:07

Microsoft has admitted that pursuing money back claims from workers that it has made redundant did not make great sense.

Twenty-five workers out of 1400 made redundant last month were overpaid by about £3,500 each, according to the firm, which on discovering the issue immediately sent out letters asking for the money to be returned. Following a negative backlash online, the firm has apparently backtracked, and will let them keep the money as part of their severance packages.

Microsoft has issued a statement on the matter, saying, "Last week, 25 former Microsoft employees were informed that they were overpaid as a part of their severance payments from the company. This was a mistake on our part. We should have handled this situation in a more thoughtful manner. We are reaching out to those impacted to relay that we will not seek any payment from those individuals."

The clerical error which caused the over-payment also led to 20 laid-off employees being short-changed. Microsoft has since sent these workers a cheque making up their packages.

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