A leaked spreadsheet, allegedly containing salary information for software engineers at Microsoft, has shed light on the tech giant’s compensation structure. The leak, reportedly stemming from performance reviews earlier this year, reveals the pay and promotion details of hundreds of Microsoft employees.
The document, shared by employees and analyzed by Business Insider, provides a glimpse into Microsoft’s compensation strategy. It includes data such as base salaries, performance-based raises, promotions, and bonus percentages. The report analyzed over 500 submissions from individuals claiming to be Microsoft employees based in the United States.
Microsoft’s compensation structure, similar to most tech companies, consists of base pay, cash bonuses, and stock awards. The leaked spreadsheet reveals stark differences in compensation across various levels and departments.
For instance, level 68 engineers reportedly earn an average total compensation of $862,000, with a base pay of $269,000 and $593,000 in cash bonuses and stock awards. Level 69 engineers reportedly earn an average total compensation of $1,230,000, with a base pay of $290,000 and $940,000 in cash bonuses and stock awards.
The report also analyzed the average salaries, raises, cash bonuses, and stock awards for software engineers across different Microsoft divisions. Notably, engineers in Microsoft’s newly established AI organization, formed in March with the appointment of Mustafa Suleyman (co-founder of DeepMind) as CEO, reportedly earn the highest salaries.
Suleyman’s team focuses on developing consumer AI products such as Microsoft’s Copilot AI chatbot and the Bing search engine. The leaked spreadsheet shows that AI engineers have an average total compensation of $377,611, with a base pay of $192,667 and $184,944 in cash and stock awards. This contrasts with engineers in the Azure division, who have an average total compensation of $251,464.
The leak highlights the significant investment Microsoft is making in AI, with high compensation packages reflecting the importance of this emerging technology. The tech industry is facing increasing scrutiny regarding its demanding work culture, with companies like Tesla and SpaceX under fire for their expectations of long work hours and unconventional schedules.
Microsoft has not yet commented on the leaked spreadsheet. However, it’s important to note that the data is based on self-reported information, and the actual compensation may vary. Nonetheless, the leak offers insights into Microsoft’s compensation strategies and the value it places on AI talent.
