Microsoft backs away from its most controversial pay practices


Between good corporate image and new American laws, Microsoft will give up some of its salary policies in the United States.

In order to always be competitive in the eyes of tech workers, Microsoft wants to take care of its image corporate by changing its salary practices. At the same time, he is keeping up to date with American legislation, which is in the process of evolving.

The end of non-competition and non-disclosure clauses in employment contracts

Microsoft announces that it wants to end the non-competition clauses on employment contracts for American employees. A measure which will apply to current contracts and which applies to all workers, with the exception of senior managers. This means that Microsoft employees could leave the company to work in a competing company of the Redmond firm: Apple, Google, Amazon, Meta, etc.

In disputes between Microsoft and its employees, the company has sometimes resolved these issues with agreements that may include confidentiality clauses. She just announced that Microsoft’s US settlement and separation agreements no longer include confidentiality clauses that prohibit workers from disclosing alleged conduct that they perceive to be unlawful discrimination, harassment, retaliation, sexual assault or violation salary and working hours in the workplace“. As notedGeekWirea law targeting the practice takes effect this week in the state of Washington, where Microsoft is based“. However, this law does not apply to employees who earn more than $100,000 per year.

Published pay scales and a civil rights audit

Among the other measures taken by the multinational, there is the publication of the salary ranges for its “internal and external job openings in the United States, starting no later than January 2023“.

Microsoft declares that it is committedconduct a civil rights audit of its personnel policies and practices […] to identify areas where Microsoft can take action“. You could say that Microsoft is aware of its problems, but does nothing, but the firm is also committed “to publish a summary report and follow-up actions“.

In addition, the president of Microsoft Brad Smith had announced a few days ago to open up to the unionization of its employees.


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