Microsoft employees: Pay less than peers like Google, but work-life balance is satisfactory

BEIJING, May 30 (Xinhua) — An internal Microsoft survey showed that 55 percent of employees believe their pay (including basic pay, bonuses and equity) is competitive with similar positions at other companies, sources said. The survey was cut in March. It is reported that this figure in the same survey in 2019 was 57 per cent, 61 per cent in 2018, 65 per cent in 2017 and 67 per cent in 2015 and 2016. Microsoft did not comment.

Microsoft employees: Pay less than peers like Google, but work-life balance is satisfactory

Every year, Microsoft conducts an internal survey of all employees called MS Poll to assess employees’ perceptions of the company’s leadership, work-life balance, compensation and benefits.

Seventy-one percent of employees said their contributions to Microsoft were in a “reasonable balance” with 74 percent in 2019. Microsoft’s benefits are considered competitive with other companies, with 71% of employees, the same as the previous year.

Microsoft has been addressing concerns about employee pay for years. In 2018, Microsoft rewards some engineers for $100,000 worth of stock. The shares will be gradually awarded to employees, which means that the longer you work at Microsoft, the higher the compensation. At the time, Microsoft did not disclose the reasons for the award of some employees, but some employees speculated that the reward of employee stock is to reduce the attractiveness of other companies trying to poach people from Microsoft to offer contract awards.

Google and Facebook engineers are paid more than their peers at Microsoft, according to the data.

Google and Facebook engineers are paid more than Microsoft, according to Thelons.fyi, a compensation website. For example, Google Level 5 engineers are estimated to be paid $345,188, Facebook E5 engineers are estimated to be paid $363,430, and in Microsoft, similar grades are paid $221,078 and $304,743, respectively.

But Microsoft employees, including current and former employees, have reported to Business Insider that, despite low pay, other benefits have made Microsoft more attractive, such as better jobs-life-balance-, health care, retirement and corporate missions than peers.

Last fiscal year, Microsoft CEO Satya Nadella was paid $42.9 million, about 249 times the median employee compensation median of $172,512.

At a shareholder meeting in December, an investor asked the board to explain the reasonableness of Nadella’s pay, and John Thompson, Microsoft’s chairman, was quick to respond, saying the company’s rising share price and changes in corporate culture and strategy justified Nadella’s pay.