Microsoft To The Laid Off: Go On And Keep That Extra Severance

Over the weekend, it surfaced that Microsoft (MSFT) overpaid severance to some of its laid off employees, and sent them a letter asking them for it back in the form of a check payable to “Microsoft Corporation.”

Now Microsoft execs tell CNET they’re going to let those overpaid ex-employees keep the money.

Microsoft says that only 25 employees were overpaid, at an average of $4,000 to $5,000 each. (Another 20 were underpaid.) Comes to about $125,000, ballpark.

Given how little money is involved, Microsoft should have just let the employees keep it in the first place. (Actually, not screwing up the severance would have been the right move in the first place.) But even so, if even one of those 25 refused to pay back the money and kept leaking every communication from Microsoft onto the Internet, the PR damage would have been far worse than $125K, so smart move.

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