Microsoft Temps
Well, when they were hired to do full-time work by the company and then paid through a temp agency so that they wouldn’t get the same benefits as permanent employees. Yesterday, software giant Microsoft
Redmond, Wash.-based Microsoft, which had 1999 revenue of $23 billion, has set aside the $97 million to pay plaintiffs in the class-action lawsuit, which dates back to 1992. Seattle law firm Bendich, Stobaugh and Strong, which brought the case, estimates that between 8,000 and 12,000 people who served as “permatemps” could receive payments in the settlement.
These permatemps were allegedly hired to work as full-time employees, but Microsoft paid them through temp agencies to avoid paying them benefits like stock options and health care plans.
Both Microsoft and the law firm agree that the company has curtailed such hiring practices, hiring 3,000 former temp workers as full-time employees in the past year alone. Now, says Microsoft spokesman Matt Pilla, temp employees can only work at Microsoft for 12 months at a time, and then the company cannot employ them for at least 100 days.
The maker of the ubiquitous Windows operating system tried to put a positive spin on the announcement, including a hiring pitch in its press release. “Microsoft continues to be a great place to work and we value everyone who contributes to our products and services,” said Deborah Willingham, Microsoft’s vice president of human resources, in a statement. “Our company continues to grow and create new jobs. We currently have thousands of job openings.”
But some say life was not pleasant for many who contributed to Microsoft’s software; some people allegedly worked at the firm for more than 10 years without receiving the rights and privileges given to full-time employees.
Employees were sometimes hired by Microsoft, and then sent to a temp agency that put them on its payroll. “The payroll agencies were chosen by Microsoft,” says prosecuting attorney Stephen K. Strong. “It was a racket for a large number of them. It was a paycheck laundering scheme.”
See:
Microsoft on The Forbes 500s
Redmond, Wash.-based Microsoft, which had 1999 revenue of $23 billion, has set aside the $97 million to pay plaintiffs in the class-action lawsuit, which dates back to 1992. Seattle law firm Bendich, Stobaugh and Strong, which brought the case, estimates that between 8,000 and 12,000 people who served as “permatemps” could receive payments in the settlement.
These permatemps were allegedly hired to work as full-time employees, but Microsoft paid them through temp agencies to avoid paying them benefits like stock options and health care plans.
Both Microsoft and the law firm agree that the company has curtailed such hiring practices, hiring 3,000 former temp workers as full-time employees in the past year alone. Now, says Microsoft spokesman Matt Pilla, temp employees can only work at Microsoft for 12 months at a time, and then the company cannot employ them for at least 100 days.
The maker of the ubiquitous Windows operating system tried to put a positive spin on the announcement, including a hiring pitch in its press release. “Microsoft continues to be a great place to work and we value everyone who contributes to our products and services,” said Deborah Willingham, Microsoft’s vice president of human resources, in a statement. “Our company continues to grow and create new jobs. We currently have thousands of job openings.”
But some say life was not pleasant for many who contributed to Microsoft’s software; some people allegedly worked at the firm for more than 10 years without receiving the rights and privileges given to full-time employees.
Employees were sometimes hired by Microsoft, and then sent to a temp agency that put them on its payroll. “The payroll agencies were chosen by Microsoft,” says prosecuting attorney Stephen K. Strong. “It was a racket for a large number of them. It was a paycheck laundering scheme.”
See:
Microsoft on The Forbes 500s
No comments:
Post a Comment