GLOBAL

DIVERSITY &INCLUSIONREPORT

2022

Introduction

The state of diversity & inclusion

Conclusion

Contents

1

Introduction

2

The state of diversity & inclusion at Microsoft in 2022
Our broader Microsoft businessOur core Microsoft businessby Lindsay-Rae McIntyre, Chief Diversity Officer, Microsoft

Representation

Representation

Exits

Notable takeaways

Representation of women by geographic region

Population

Innovation spotlight

Progress highlights

Population

Talent architecture

Our mission-driven commitment

Minimally integrated companies

Innovation spotlight

Important terms used in this report
Guided by intention, fueled by innovation

GitHubInnovation spotlight

Accountability and transparency

LinkedInPay equity

Evolving understanding of identity globallyMedian unadjusted pay analysis

Self-identification in the US

Employee Signals and thriving

US employees with disabilities

Inclusion

Innovation spotlightFeedback

Inclusive hiring and innovating
access to tech careers
Racial Equity Initiative
Innovation spotlight

Public policy on a local and global scale

3

Employee experience

Innovation spotlight

Shifting behavior

Employee Resource Groups
Recognition

Conclusion
Relentless in our focus

by Lindsay-Rae McIntyre, Chief Diversity Officer, Microsoft

2

Introduction

The state of diversity & inclusion

1
Introduction

Conclusion

Introduction

The state of diversity & inclusion

Conclusion

Introduction

Important terms usedin this report

Representation vs. population
At Microsoft, we look at employee diversity data
through two different lenses:

Hispanic and Latinx: A person of Cuban, Mexican,
Puerto Rican, Central or South American, or other
Spanish-speaking culture or origin, regardless of race.

Representation data indicates how particular groups
are represented in terms of their percentage of theworkforce as a whole.

Native American and Alaska Native: A person having
origins in any of the original peoples of North andSouth America (including Central America) who
maintain tribal affiliation or community attachment.

Population data looks at headcount numbers,comparing year-over-year absolute growth within aparticular group.

Native Hawaiian and Pacific Islander: A person having
origins in any of the original peoples of Hawaii, Guam,
Samoa, or other Pacific Islands.
White: A person having origins in any of the original
peoples of Europe, the Middle East, or North Africa.

LinkedIn was acquired in December 2016. GitHub was acquired in June 2018. We
provide standalone data for these two acquisitions. Nuance Communications
was acquired in March 2022. Minimally integrated gaming studios were acquired
starting in June 2018, with the most recent acquisition, ZeniMax Media, occurringin March 2021.

Both of these are important to consider in achieving
our goals for greater diversity and inclusion. As
Microsoft grows, year-over-year representation
numbers may not tell the whole story of progress,
because the base workforce number is also increasing.
For a group to increase representation, the populationof that group needs to grow at an equal or greaterrate than the general employee population. Looking
at population offers an indication of absolute growthwithin groups to paint a broader picture of true progress.

Core Microsoft business represents 83.9% of the worldwide broader
Microsoft workforce.

Race and ethnicity categories

We gather a range of data that ispresented in specific ways in this report.
Broader Microsoft and core Microsoft
Broader Microsoft business includes the core Microsoft business, plus minimally
integrated companies. Employees of joint ventures and newly acquiredcompanies are not included in the data.

Data gathering and expression
All data on gender is collected globally. Numbers for gender may not total 100%due to inclusion of people who identify as transgender, non-binary, or whochoose not to disclose.
Racial and ethnic data reflects the US only. Numbers may not total 100% due toinclusion of people who choose not to disclose.
Percentages are calculated to the 1/100th but rounded and published in 1/10th.
Differentials may differ slightly due to rounding. Totals may not equal 100% due
to rounding or because denominators include people who choose not
to disclose.
Historical numbers may differ slightly due to rounding and refinements inmethodology or data capture year over year. Unless otherwise indicated, data
presented is a snapshot taken on June 30 of the year referenced.

Data referenced in this report reflects numbers
reported to the US Equal Employment Opportunity
Commission based on these categories:
Asian: A person having origins in any of the original
peoples of East Asia (China, Hong Kong, Japan,
Macau, Mongolia, North Korea, South Korea, andTaiwan), South Asia (Afghanistan, Bangladesh, Bhutan,
India, Maldives, Nepal, Pakistan, and Sri Lanka) andSoutheast Asia (Burma, Brunei, Cambodia, East Timor,
Indonesia, Laos, Malaysia, Philippines, Singapore,
Thailand, and Vietnam).
Black and African American: A person having origins
in any of the Black racial groups of Africa.

Multiracial: A person who identifies with more than oneof the above six races or ethnicities.

Levels and roles
As used in this report only, the following descriptions
apply to the core Microsoft business:
Executive: Executive roles across all functions.
Partner + Executive: Employees with various partnerand executive roles across all functions.
Director: Employees with various director roles across​all functions.
People Manager: Employees at any level with at least
one employee role reporting to them.
Individual Contributor: Employees at any level without
any employee roles reporting to them.
Technical: The talent architecture initiative waslaunched a few years ago to better position Microsoft
to grow and retain our talent, through improved data
insights of our roles benchmarked to market.

As a result, technical/non-technical definitions havebeen adjusted for the purposes of the 2022 Global
Diversity & Inclusion Report. We also provide a
one-time look back to previous definitions foraccountability. We will apply these new definitions to
our D&I reporting going forward.
We’ve refreshed our definition of technical roles toinclude employees in professions and disciplinesthat are directly involved in the technical creationand deployment of Microsoft products and services,
including Software Engineering and several otherdisciplines involved in Technical Production Code,
Hardware, Research, and Data Infrastructure; involved inTechnical Customer Solutions; and involved in Technical
Program Management, Content, and Experience.
Non-technical: All employees, including retail
employees, with the exception of those in disciplines
involved in the technical creation and deployment ofMicrosoft products and services, including Software
Engineering and several other disciplines involved inTechnical Production Code, Hardware, Research, andData Infrastructure; involved in Technical Customer
Solutions; and involved in Technical Program
Management, Content, and Experience.
Retail: All employees within the Microsoft
Stores organization.

Other reports
In addition to this annual Diversity & Inclusion Report,
Microsoft continues to publish disclosures basedon local regulation requirements. This additional
information includes:
France: Gender Pay Gap Report
Israel: Gender Pay Gap Report
United Kingdom: Gender Pay Gap Report
4Introduction

The state of diversity & inclusion

Conclusion

Introduction

Guided byintention, fueledby innovation
At Microsoft, the work of diversity
and inclusion is about having
intention in all we do. It’s about
leveraging our global influence
to drive positive change, within
our company and across thecommunities where we live
and work.
It’s about investing in employees’ experiences, accessto opportunity, and futures. It relies on harnessing key
insights that help us yield business outcomes, people
outcomes, and culture outcomes. In many ways, inclusion
is innovation: It’s about envisioning, designing, andrealizing an organization and an industry that are more
inclusive tomorrow than today.
This is the ninth year in a row we’ve publicly released
the demographic and other data that serve as a measurement of where we are in increasing representationand strengthening a culture of inclusion at Microsoft.
The numbers show that globally, we are a more diverse
Microsoft overall today than we’ve ever been.

We’re energized by our ongoing progress, and this year’s
growth feels particularly meaningful in the context ofsignificant challenges around the world.
We continue to be one of the most transparent companiesof our size. This year, we’re sharing new data on populations
that include multiracial employees and those with US
military experience, along with new pay data. We’re sharing
expanded regional data on representation of women
worldwide. In addition, we’re reporting the representation
for all employees who exit Microsoft by women, men, andrace and ethnicity.
True inclusion isn’t easy, and no single organization cansolve it alone. We convene, advocate, and collaborate withmany partners—from other companies to non-governmentalorganizations to lawmakers—to effect real change for our
employees and society at large.
Internally, we’ve made concepts such as allyship, covering,and privilege the building blocks of our shared language
and shared understanding. Doing this allows us to reinforce
our growth mindset culture, live our values, and create
the conditions for every employee to bring their authentic
selves to work. From recruiting to new employee orientation,
benefits and compensation, employee communities andevents, career development, and more—we build sustainablesystems that enable us to deliver on our promises of an
inclusive experience for employees and customers.
At Microsoft, our accountability starts at the highest
levels of our organization. We evaluate each Partner’s andExecutive’s progress on diversity and inclusion as part ofdetermining their impact, rewards, and promotions. It’s
also a performance and development core priority forevery employee to accelerate inclusion through intentional
everyday actions.

Listening to employee feedback is essential. For example,
our company-wide survey, which we increased infrequency to twice a year, now focuses more heavily
on the employee experience, going beyond measuring
engagement to gauge whether employees are thriving.
On our employee survey question about whether people
feel included in their teams, the item scored an averageof 86 globally.
As a company of more than 220,000 employees who dobusiness in more than 190 countries across our broader
Microsoft business, we face a formidable challenge inmaking diversity and inclusion meaningful and actionable
for everyone. To meet this challenge, we design companywide, globally relevant ways for employees to engage
with the work, while also ensuring conversations andactions are meaningful at a local level.

The work of diversity and inclusion iscomplex and ever-evolving. At Microsoft, wearen’t daunted by the complexity. Instead,
we leverage our platform and allocate ourresources to take on these issues, innovating
our way forward with the same vision andcommitment we bring to all that we do.

Lindsay-Rae McIntyre,
Chief Diversity Officer, Microsoft

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The state of diversity & inclusion

Conclusion

Introduction

Notable takeaways
Data has been critical in helping
us quantify and understandour progress since we began
documenting our diversity andinclusion (D&I) progress in 2014.
The data has shown steady
representation growth globally
within our workforce year afteryear, and that trend continues
in 2022.
This past year, the numbers
show the highest year-over-year
representation progress since
2018, across various categories,
for several of the communities
highlighted in this report.

While Microsoft’s overall workforce growth has
played a part in these positive trends, many of thesecommunities are growing at a stronger rate than thecompany workforce overall—in terms of both representation (a particular group’s percentage of theworkforce as a whole) and headcount (the absolute
number of employees within a particular group).
We’ve also added new or expanded ways for
employees to self-identify, laying the groundworkfor us to continue sharing expanded data in futurereports as participation levels grow and newly
collected data becomes available. This includes
expanded answer options in the US for Asianand multiracial identities and those who identify
as Middle Eastern or North African; and options
in Australia and New Zealand for employees toself-identify by culture and ethnicity, Indigenous
status, and caregiver status.

While we have more progress to make,the data shows that our steadfast
commitment to the D&I work is yielding
measurable results and positive change.
As we push ourselves to do more, we’re
working to deepen our understandingof our workforce and where additional
efforts are most needed.

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The state of diversity & inclusion

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Introduction

Progress highlights

Women
•

Leadership

Women now make up more than 30.0% of thecore Microsoft workforce worldwide, ending
the year at 30.7%. Over the past five years(since 2018), representation of women has
grown at least 1.0 percentage point every year.

•

Representation growth has been even higher for
women in technical roles, growing between 1.4 and1.6 percentage points every year over the past five years.

Racial and ethnic minorities•

For women in our core Microsoft business,representation grew at every leadership level,
including the strongest year-over-year increase
in representation over the past five years (up 1.9
percentage points to 23.0%) at the Partner +Executive level.

•

Both Black and African American (3.7%) and Hispanicand Latinx (5.6%) groups at the Director level inour core Microsoft business saw the highest yearover-year representation growth over the past five
years at 0.6 percentage points and 0.5 percentage
points, respectively.

Core Microsoft representation and year-over-year change
R ACIAL AND ETHNIC MINORITIES

53.2%+1.9 percentage points year over year
H I S P A N I C A N D L AT I N X

7.6%

​

+0.6 percentage points year over year

ASIAN

35.8%

+0.3 percentage points year over year
M U LT I R A C I A L

2.6%

BL ACK AND AFRICAN AMERICAN

6.6%

​
•

For Asian employees, representation at the Partner +Executive level is up 2.2 percentage points to 28.4%,
the highest year-over-year increase over the past
five years.

•

Multiracial representation at the Partner + Executive
level rose 0.5 percentage points to 1.9%, the highest
year-over-year increase over the past five years.

+0.9 percentage points year over year

+0.1 percentage points year over year

Disability•

The percentage of US core Microsoft employees
who identify as having a disability is 7.8% (up 0.7
percentage points year over year).

Inclusion
As we invest in the D&I work globally, employee
sentiment about our culture of inclusion and theirexperience has grown more positive. In 2016, we started
measuring employees’ perceptions of how we live up
to our cultural attributes of Growth Mindset, Customer
Obsessed, One Microsoft, and Diverse and Inclusive via
Daily Pulse, a short survey sent to a random sample of
2,500 employees every business day. We’ve made strides
on all dimensions—and we know we always have more
to do.
Evolving a culture of inclusion can be particularly
urgent—and necessary—when an organization experiences dramatic growth, as Microsoft has in recent years.
Our sentiment data confirms that even as we’ve acquiredcompanies and added a record number of employees to
our workforce—increasing our core employee population
by 64.4% since 2016—the inclusive employee experiencehas continued to improve.
In June 2022, 85.1% of employees agreed or strongly
agreed that, “At Microsoft, we are diverse and inclusive,
meaning that we are open to others’ ideas, we value andinvite differing perspectives, and we believe diversity is
critical to our success.” In June 2021, it was 83.8%, and in
December 2016, it was 82.1%.

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The state of diversity & inclusion

Conclusion

Introduction

Our mission-driven
commitment
At Microsoft, we intentionallyleverage our power, privilege,
and global reach to drive
systemic change.
Our commitment to diversity andinclusion is driven by our mission
to empower every person andevery organization on the planet toachieve more.
We seek to create an environment
where people can be theirauthentic selves in alignment
with our company values. We
take a multifaceted, holistic
approach to making this a reality,
employing operational rigor andsystemic accountability.

“Microsoft’s commitment to diversity and inclusion islongstanding and central to our company’s mission.
Each year we strive to increase representation, and we arecommitted to being accountable and transparent about
our progress, so that we can continue to empower our
employees, our customers, and the world.”
Satya Nadella,

Chairman and Chief Executive Officer, Microsoft“At Microsoft, our business success depends on innovation, which isbased on new ways of thinking, requiring a workforce of people withmany different life experiences and perspectives. Just as innovation
is an ongoing process, so is D&I. Our employees continue toembrace their role in D&I, finding new ways to make Microsoft morediverse and inclusive internally, as well as enhancing our products
and leveraging our platform to make the world more accessible
for all. Our mission can only be achieved when we represent andinclude everyone we seek to empower.”
Kathleen Hogan,

Chief People Officer, Microsoft
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The state of diversity & inclusion

Introduction

Innovation
spotlights
We have a long history at Microsoft
of applying our growth mindset
and tenacity to address some of theworld’s most complex challenges.
We put the same relentless focus,
willingness to learn, and creative
thinking to work in confronting therealities of inequity in our industry,and beyond.
Not because we have all of theanswers, but because we are
uniquely positioned to make adifference when we innovate
for inclusion.

Watch: Six Ways We are Innovating for Inclusion

Conclusion

Innovation spotlight

Accountability and transparency

We believe transparency fuels accountability, andaccountability builds trust. Our work at Microsoft to
attract, retain, and grow a workforce of people withmany different backgrounds, skills, and experiences canonly be successful if we’re committed to doing the D&I
work and consistently sharing where we’re succeeding
and where we must improve. As one of the most transparent multinational companies of our size, we regularly
share our D&I progress with employees and the public,
and we also continue to evolve and grow the data andinsights we share.

With this report, we’ve now added details about our
median unadjusted pay analysis. As one of the firstglobal companies to do so, we believe that while pay
equity is a critical factor, it is only one factor in how wethink about D&I progress. We must also look to any differences in median pay when we don’t adjust for things
like job title, level, and tenure. This allows us to further
highlight the opportunity to continue to make progress
on representation at senior levels of the company.
With this decision also comes the responsibility toprovide employees and external audiences with thenecessary context for the data. These complex topics
are key to understanding our way forward, and ourcommitment to transparency and accountability
strengthens our conviction.

Data transparency
In addition to our data disclosure on representation,
we also share pay data to help provide additionaltransparency. For example, to ensure we’re providing a
global picture, we’ve expanded the global locations on
which we share data each year since we began sharing
data on pay equity in 2016. In this year’s report, weagain expanded our pay equity data beyond the US toreport on 61 additional countries (up from 12 last year).
This employee population, plus the US population,
represents 99.8% of our global Microsoft workforce.
We actively seek to implement best practices to further
strengthen our pay equity approach. This informed ourdecision to prohibit the practice of asking job applicants
about their salary histories several years ago. As
announced this year, we will proactively include salaryranges in all of our internal and external job postings
across the US, beginning no later than January 2023.

“At Microsoft, we believethat accountability
and transparency areimportant. Sharing
pay equity since 2016;
considering D&I metrics
as a critical component of pay andpromotion for senior leaders; andsharing increased total rewards
information with employees andthe marketplace all fuel our robust
commitment to make progress.”
Kristen Roby Dimlow,
Corporate Vice President, Total Rewards &HR Business Insights, Microsoft

Accountability through meaningful action
To accelerate our ongoing progress on representationand inclusion, we must maintain our focus on work thatwill have an impact and commitments that will drive
sustainable change. Knowing which efforts accrue toimpact can be challenging in the D&I space. That’s why
we created a One Microsoft D&I Plan, which outlines
the resources, actions, and accountability measures thatlead to real outcomes across the organization.
Employees at all levels know that D&I is central to
our success and that it’s their responsibility to actively
engage in our evolution by practicing inclusion, learningfrom failure, and accelerating our progress throughtheir everyday actions. Four years ago, in alignment with
our growth mindset culture, we embedded D&I as aperformance expectation for all employees, to bring to
the forefront our vision of a truly inclusive culture for all.
Through our D&I Core Priority, part of our performanceand development approach, we ask employees andmanagers to learn and practice the skills that create amore diverse and inclusive workplace. This often sparksdifficult but crucial conversations that can challenge
our fundamental view of ourselves and bring newawareness of others.
We also know leaders have a unique accountability
and ability to influence change in their teams. For
all Partners and Executives, we evaluate progress on
diversity and inclusion as part of determining theirimpact, rewards, and promotions.
This continuous cycle of transparency, trust building,and individual and collective accountability allows us toaccelerate our diversity and inclusion progress.

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The state of diversity & inclusion

2
The state of diversity
and inclusion at
Microsoft in 2022

Conclusion

Introduction

Representation

The state of diversity & inclusion
Broader

On pages 11 to 14, we look at
D&I data across our broader
Microsoft business in terms of both
representation and population of
women and men globally and of
racial and ethnic groups in the US.
We also explore results for our
minimally integrated companies.

ConclusionCore

Our broader Microsoft business
Notable highlights

Representation levels 2018-2022*
2018

2019

2020

2021

2022

WOMEN

28.1%

29.2%

30.2%

30.9%

32.7%

MEN

71.8%

70.7%

69.6%

69.0%

67.2%

ASIAN

32.3%

33.3%

34.9%

34.9%

34.2%

BLACK AND ​​AFRICAN AMERICAN

4.0%

4.4%

4.7%

5.6%

6.9%

HISPANIC AND
LATINX

5.9%

6.2%

6.4%

6.9%

7.5%

NATIVE AMERICAN
AND ALASKA NATIVE

0.5%

0.5%

0.4%

0.4%

0.4%

NATIVE HAWAIIANAND PACIFIC ISLANDER

0.2%

0.2%

0.2%

0.2%

0.2%

WHITE

54.1%

52.1%

49.2%

48.3%

47.2%

MULTIRACIAL

1.9%

2.1%

2.3%

2.5%

2.7%

R ACIAL AND ETHNIC MINORITIES

51.9%

G L O B A L D ATA+1.4 percentage points year over year

BL ACK AND AFRICAN AMERICAN

6.9%

U S D ATA

+1.3 percentage points year over year

H I S P A N I C A N D L AT I N X

7.5%+0.6 percentage points year over year

We saw the greatest year-over-year
representation increase for both Black andAfrican American, and Hispanic and Latinx
employees in the past five years.

* Percentages are calculated to the 1/100th but rounded and published in 1/10th. Differentials may differ slightly due
to rounding. Totals may not equal 100% due to rounding or because denominators include people who choose not
to disclose.

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The state of diversity & inclusion
BroaderConclusion

Core

Representation of women by geographic region
In our ongoing effort to increasetransparency and accountability,
we’re sharing data on the
representation of women in our
broader Microsoft business moregranularly—by region,* in addition
to worldwide—for the first time.

Our broader Microsoft business

32.7%

of Microsoft’s broader global
workforce is women.

+1.8 percentage points

in year-over-year growth in 2022
vs. +0.7 percentage points in 2021.

39.9%

of women employees are basedoutside North America.

Representation of womenNORTH
AMERICA

33.1%

SOUTH
AMERICA

32.5%

E U R O P E , M I D D L E E A S T,
AND AFRICA

32.4%

ASIA
PAC I FI C

31.6%

* This is a geographical representation and not a representation on how we operate as a business.

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Introduction

Population

The state of diversity & inclusion

Conclusion

Core

Broader

Our broader Microsoft business
Notable highlights••

Black and African American, Hispanic and Latinx,
and multiracial employee populations have allmore than doubled since 2018 across the broader
Microsoft business.
Since 2018, the size of our global broader Microsoft
workforce has grown 69.2%. Year-over-year growthfor 2022 is 22.0%.

Population growth in our broader Microsoft business*
These communities have experienced higher growthyear over year in 2022 than the 18.2% growth for
Microsoft’s broader business in the US:
BL ACK AND AFRICAN AMERICAN+46.3%H I S P A N I C A N D L AT I N X

Globally, population growth for womencontinues to outpace that of Microsoft’s
broader workforce. Since 2018, thepopulation of women employees
globally at Microsoft has grown

96.9%

In 2022, the number ofwomen globally grew by

29.1%

the strongest growthin the past five years.

+29.1%

2021 - 2022

2018 - 2022

GLOBALWORKFORCEGROW TH+22.0%+69.2%

WOMEN+29.1%+96.9%

MEN+18.9%+58.3%US
WORKFORCEGROW TH

+18.2%+57.7%

ASIAN+15.8%+67.0%BL ACK AND
AFRICAN AMERICAN+46.3%+169.9%HISPANIC AND
L ATINX+29.1%+101.4%NATIVE AMERICAN
AND AL ASKA NATIVE+4.8%+24.7%

NATIVE HAWAIIANAND PACIFIC ISL ANDER+22.7%+42.3%

WHITE+15.3%+37.5%MULTIRACIAL+24.9%+123.7%

G L O B A L D ATAU S D ATAN AT I V E H A W A I I A N A N D P A C I F I C I S L A N D E R+22.7%
M U LT I R A C I A L+24.9%* Data as of June 30, 2022. Microsoft + LinkedIn + GitHub + Nuance + Game Studios (Playground Games,
Ninja Theory, Undead Labs, Compulsion Games, InXile, Obsidian, Double Fine, ZeniMax). Percentages arecalculated to the 1/100th but rounded and published in 1/10th.

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The state of diversity & inclusion
BroaderConclusion

Core

Minimally integrated companies
While Microsoft’s minimally
integrated companies have separate
recordkeeping systems, ourcommitment to making progress
on D&I applies to all the companies
that are part of the Microsoft family.
Our strategies share somesimilarities, though they’re also
designed with flexibility toaddress the unique opportunities
and challenges of theindividual businesses.

Our broader Microsoft business
Our purpose is to enable software developers across the globe to
make the world a better place. With 83 million+ developers
and 1 billion+ annual contributions, we strive to make inclusion in
the tech industry the norm. Our goal is to continue building a world
where diverse contributions are accepted and all voices are heard.

We have a clear company vision: to create economic opportunity
for every member of the global workforce. Our focus on diversity,
inclusion, and belonging is a critical enabler of that vision andextends well beyond the representation data that we track andthe groups for which we share data publicly. We know the future
we seek will require diligence, collaboration, and persistence, andwe’re proud of our progress and company-wide commitment,
while recognizing that our work is far from finished.

Population growth highlights
GLOBAL EMPLOYEES+36.7%+42.2%NON-US EMPLOYEES+36.7%+60.3%US EMPLOYEES+36.6%+25.5%+37.7%+67.3%US ASIAN

GLOBAL WOMENUS BL ACK AND AFRICAN AMERICANU S H I S P A N I C A N D L AT I N X

We’re pleased to share that fiscal year 2022 was our strongest year yet in diversifying
LinkedIn, especially at leadership levels. We are well ahead of schedule in meeting thecommitment we made in 2020 to double the number of Black, African American, Hispanic,
and Latinx leaders, managers, and senior individual contributors on our US team over a
five-year period. We met our goal for the Black and African American senior population thisyear, increasing 127.0% in just two years since announcing our commitment. We’re also on
track to meet our commitment for Hispanic and Latinx senior employees ahead of schedule,
having increased that population by 74.0% since fiscal year 2020. (By comparison, ouroverall US population at these senior levels has increased 34.0% over the same period).

U S M U LT I R A C I A LThis population growth trend supported increased representation in key areas. Women
now make up 30.5% of our global workforce, 23.6% of senior leadership roles, 33.4%
of management roles, and 24.5% of our technical roles. Black and African American
employees now make up 6.4% of GitHub’s US workforce and 3.1% of senior leadershiproles. Hispanic and Latinx employees make up 7.0% of our US workforce and 4.9% ofsenior leadership roles.
It has been another year of significant growth, and our commitment continues to be torepresent the global community—and be the home of all software developers.
Read more in our 2022 GitHub Diversity, Inclusion, and Belonging Report.

Representation highlights

47.0%

7.2%

27.8%

7.4%

GLOBAL WOMEN+2.0 percentage points year over year
GLOBAL WOMEN IN TECHNICAL ROLES+2.7 percentage points year over year

US BL ACK AND AFRICAN AMERICAN+2.6 percentage points year over year
U S H I S P A N I C A N D L AT I N X+1.0 percentage point year over year

Read more in our 2022 LinkedIn Diversity, Inclusion, and Belonging Reportand explore an update on Our Continued Commitment to Equal Pay.

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Introduction

Representation

The state of diversity & inclusion
Core

Broader

On pages 15 to 36, we look
more closely at our core Microsoft
business, which represents
83.9% of our broader Microsoft
workforce, excluding minimally
integrated companies. We report
representation and population
data on women and men globallyand racial and ethnic groups in
the US. We also look within levels
and roles and explore data on
employees who self-identify as
multiracial or who have a disability
or military status. We share updates
on our Racial Equity Initiative
commitments, pay data, employee
sentiment, and new data on
workforce exits.

Conclusion

Our core Microsoft business
Notable highlights
Overall growth•

Women and nearly all racial and ethnic minorities
saw year-over-year representation growth in 2022,with the exception of Native American and Alaska
Native communities, whose representation declined
by 0.1 percentage points.

•

Asian representation has grown by 3.9 percentage
points to 35.8% since 2018.

•Native Hawaiian and Pacific Islander representation
has been static at 0.2% over the past five years.
Representation has stayed constant as population
growth for this group has risen at a similar rate as
the overall employee population.

Hispanic and Latinx representation
grew 0.6 percentage points to
7.6%, the highest year-over-yearincrease in the past five years.

Leadership•

Women representation rose year over year at allleadership levels, with the highest growth at thePartner + Executive level, increasing 1.9 percentage
points to 23.0%.

•

Black and African American and multiracial
representation rose year over year at allleadership levels.

•

Asian representation grew at all leadership levels
except for Executives. Representation at thePartner + Executive level rose 2.2 percentage
points to 28.4%, the highest year-over-year
growth in the past five years.

•

Hispanic and Latinx representation increased at the
Director and People Manager levels and decreased
at the Executive and Partner + Executive levels.

Black and African American
representation grew 0.9 percentage
points to 6.6%, the highest year-overyear increase in the past five years.
15

Introduction

Representation

The state of diversity & inclusion
Broader

For additional information on how
we define technical roles, please see
page 19.

ConclusionCore

Our core Microsoft business
Representation trends across all core Microsoft roles and levels from 2018 to 2022*

Numbers equal percent of representation.

WOMEN

26.6

27.6

28.6

29.7

30.7
28.0

19.9
2018

2019

2020

2021

2022

ALL CORE
MICROSOFT

2018

21.4

2019

22.8

2020

24.4

2021

25.8

2022

TECHNICAL ROLES(NEW DEFINITION)

29.0

30.2

31.1

26.9

2018

24.2

2019

2020

2021

2022

INDIVIDUALCONTRIBUTOR

2018

25.4

2019

26.3

2020

27.1

2021

28.4

2022

PEOPLE MANAGER

19.9

20.5

21.1

2018

2019

2020

22.0

23.2
17.9

2021

2022

DIRECTOR

2018

19.3

20.0

2019

2020

21.1

2021

23.0

2022

PA R T N E R +EXECUTIVE

24.6

24.0

2019

2020

25.0

25.9

21.1

2018

2021

2022

5.6

5.7

2021

2022

EXECUTIVE

BL ACK AND AFRICAN AMERICAN

4.1

4.5

4.9

5.7

6.6

4.4
2.8

2018

2019

2020

2021

6.1

5.7

2022

ALL CORE
MICROSOFT

2018

3.3

4.9

7.1

5.2
4.5

4.4

3.9

3.6
2.5

2019

2020

2021

2022

TECHNICAL ROLES(NEW DEFINITION)

2018

2019

2020

2021

2022

INDIVIDUALCONTRIBUTOR

2018

2.7

2.9

2019

2020

2021

2022

PEOPLE MANAGER

2.4

2.5

2018

2019

2.6
2020

3.2

3.8

3.7
2.4

2021

2022

DIRECTOR

2018

2.7

2.9

2019

2020

4.0
3.0

2021

2022

PA R T N E R +EXECUTIVE

2018

3.7

3.7

2019

2020

EXECUTIVE

H I S P A N I C A N D L AT I N X

6.0

6.3

6.6

7.0

7.6
6.8

4.5

4.9

5.3

5.8

6.2

6.5

6.8

7.2

7.9

4.8

5.0

5.4

6.0

6.2

4.4

4.7

4.8

5.2

5.6

5.2
4.4

5.1

4.4

3.6

3.5
2.7

2018

2019

2020

ALL CORE
MICROSOFT

2021

2022

2018

2019

2020

2021

TECHNICAL ROLES(NEW DEFINITION)

2022

2018

2019

2020

2021

2022

INDIVIDUALCONTRIBUTOR* Percentages are calculated to the 1/100th but rounded and published in 1/10th. Data visualization on this page is not to mathematical scale.

2018

2019

2020

2021

PEOPLE MANAGER

2022

2018

2019

DIRECTOR

2020

2021

2022

2018

2019

PA R T N E R +EXECUTIVE

2020

2021

2022

2018

2019

3.3
2020

3.7

2021

3.5

2022

EXECUTIVE

16

Introduction

Representation

The state of diversity & inclusion
Broader

2022

ConclusionCore
ALL CORE MICROSOFTEXECUTIVE

PARTNER + EXECUTIVEDIRECTORPEOPLE MANAGER

INDIVIDUALCONTRIBUTORTECHNICAL ROLES(NE W DEFINITION)NON-TECH ROLESINCLUDES RETAIL(NE W DEFINITION)RETAIL

WOMEN

30.7%

25.9%

23.0%

23.2%

28.4%

31.1%

25.8%

52.0%

39.4%

MEN

69.3%

74.1%

77.0%

76.8%

71.6%

68.9%

74.2%

48.0%

60.6%

ASIAN

35.8%

22.5%

28.4%

32.4%

32.2%

36.5%

40.1%

18.1%

9.6%

BL ACK AND AFRICAN AMERICAN

6.6%

5.7%

4.0%

3.7%

4.5%

7.1%

5.7%

10.5%

19.7%

HISPANIC AND L ATINX

7.6%

3.5%

5.1%

5.6%

6.2%

7.9%

6.8%

11.0%

28.3%

NATIVE AMERICAN AND AL ASKA NATIVE

0.4%

0.3%

0.3%

0.4%

0.4%

0.4%

0.4%

0.3%

0.3%

WOMEN

NATIVE HAWAIIAN AND PACIFIC ISL ANDER

0.2%

0.0%

0.0%

0.1%

0.2%

0.2%

0.2%

0.4%

0.6%

WHITE

46.7%

66.1%

60.3%

55.9%

54.5%

45.0%

44.3%

56.4%

38.7%

MEN

MULTIRACIAL

2.6%

1.9%

1.9%

1.7%

1.9%

2.7%

2.4%

3.2%

2.7%

RETAIL

Representation in our core
Microsoft business 2018-2022*

ASIAN

2021

BL ACK AND AFRICAN AMERICANHISPANIC AND L ATINX
NATIVE AMERICAN AND
AL ASKA NATIVE
NATIVE HAWAIIAN AND
PACIFIC ISL ANDER
WHITE

2020

MULTIRACIAL* Percentages are calculated to the 1/100th but rounded
and published in 1/10th. Totals may not equal 100% due
to rounding or because denominators include people
who choose not to disclose. Data visualization on thispage is not to mathematical scale.

2019

2018

DEMOGRAPHICALL CORE MICROSOFTEXECUTIVE

PARTNER + EXECUTIVEDIRECTORPEOPLE MANAGER

INDIVIDUALCONTRIBUTORTECHNICAL ROLES(NE W DEFINITION)NON-TECH ROLESINCLUDES RETAIL(NE W DEFINITION)

WOMEN

29.7%

25.0%

21.1%

22.0%

27.1%

30.2%

24.4%

41.2%

38.1%

MEN

70.3%

75.0%

78.9%

78.0%

72.9%

69.8%

75.6%

58.8%

61.9%
9.8%

DEMOGRAPHIC

ASIAN

35.4%

23.3%

26.2%

31.3%

31.0%

36.3%

42.6%

16.9%

BL ACK AND AFRICAN AMERICAN

5.7%

5.6%

3.8%

3.2%

3.9%

6.1%

4.4%

9.1%

17.9%

HISPANIC AND L ATINX

7.0%

3.7%

5.2%

5.2%

6.0%

7.2%

5.8%

10.3%

26.9%

NATIVE AMERICAN AND AL ASKA NATIVE

0.5%

0.4%

0.3%

0.5%

0.4%

0.5%

0.5%

0.4%

0.5%

NATIVE HAWAIIAN AND PACIFIC ISL ANDER

0.2%

0.0%

0.1%

0.1%

0.2%

0.2%

0.1%

0.4%

0.9%

WHITE

48.6%

66.3%

62.9%

58.2%

56.6%

47.0%

44.2%

60.0%

42.0%

MULTIRACIAL

2.5%

0.7%

1.4%

1.6%

1.8%

2.6%

2.3%

2.8%

2.0%

ALL CORE MICROSOFTEXECUTIVE

PARTNER + EXECUTIVEDIRECTORPEOPLE MANAGER

INDIVIDUALCONTRIBUTORTECHNICAL ROLES(NE W DEFINITION)NON-TECH ROLESINCLUDES RETAIL(NE W DEFINITION)RETAIL

WOMEN

28.6%

24.0%

20.0%

21.1%

26.3%

29.0%

22.8%

40.4%

38.5%

MEN

71.3%

75.7%

79.9%

78.9%

73.7%

71.0%

77.1%

59.5%

61.5%

ASIAN

34.7%

21.5%

25.2%

29.8%

30.6%

35.5%

41.8%

16.5%

9.9%

BL ACK AND AFRICAN AMERICAN

4.9%

3.7%

2.9%

2.6%

2.9%

5.2%

3.6%

8.1%

19.6%

HISPANIC AND L ATINX

6.6%

3.3%

4.4%

4.8%

5.4%

6.8%

5.3%

9.9%

25.9%

NATIVE AMERICAN AND AL ASKA NATIVE

0.5%

0.0%

0.3%

0.4%

0.4%

0.5%

0.5%

0.4%

0.4%

NATIVE HAWAIIAN AND PACIFIC ISL ANDER

0.2%

0.0%

0.1%

0.1%

0.2%

0.2%

0.1%

0.4%

0.8%

WHITE

50.2%

70.2%

65.2%

60.3%

58.7%

48.6%

45.8%

61.8%

41.2%

MULTIRACIAL

2.3%

0.4%

1.1%

1.4%

1.5%

2.4%

2.2%

2.6%

2.1%

DEMOGRAPHICALL CORE MICROSOFTEXECUTIVE

PARTNER + EXECUTIVEDIRECTORPEOPLE MANAGER

INDIVIDUALCONTRIBUTORTECHNICAL ROLES(NE W DEFINITION)NON-TECH ROLESINCLUDES RETAIL(NE W DEFINITION)RETAIL

WOMEN

27.6%

24.6%

19.3%

20.5%

25.4%

28.0%

21.4%

39.4%

38.2%

MEN

72.3%

75.4%

80.7%

79.5%

74.6%

71.9%

78.6%

60.5%

61.8%

ASIAN

33.1%

17.4%

23.9%

27.8%

28.6%

33.9%

40.1%

16.6%

10.2%

BL ACK AND AFRICAN AMERICAN

4.5%

3.7%

2.7%

2.5%

2.7%

4.9%

3.3%

7.5%

18.6%

HISPANIC AND L ATINX

6.3%

2.7%

4.4%

4.7%

5.0%

6.5%

4.9%

9.6%

25.0%

NATIVE AMERICAN AND AL ASKA NATIVE

0.5%

0.0%

0.4%

0.3%

0.3%

0.6%

0.6%

0.4%

0.5%

NATIVE HAWAIIAN AND PACIFIC ISL ANDER

0.2%

0.0%

0.1%

0.1%

0.2%

0.2%

0.1%

0.4%

1.0%

WHITE

53.2%

75.3%

67.3%

63.2%

61.8%

51.6%

49.0%

63.1%

43.0%

MULTIRACIAL

2.1%

0.5%

0.9%

1.2%

1.2%

2.2%

2.0%

2.3%

1.8%

ALL CORE MICROSOFTEXECUTIVE

PARTNER + EXECUTIVEDIRECTORPEOPLE MANAGER

INDIVIDUALCONTRIBUTORTECHNICAL ROLES(NE W DEFINITION)NON-TECH ROLESINCLUDES RETAIL(NE W DEFINITION)RETAIL

WOMEN

26.6%

21.1%

17.9%

19.9%

24.2%

26.9%

19.9%

38.2%

36.1%

MEN

73.4%

78.9%

82.1%

80.1%

75.8%

73.0%

80.0%

61.7%

63.9%

ASIAN

31.9%

19.7%

23.2%

26.1%

26.7%

32.8%

39.2%

15.9%

9.3%

BL ACK AND AFRICAN AMERICAN

4.1%

3.0%

2.4%

2.4%

2.5%

4.4%

2.8%

7.1%

18.6%

HISPANIC AND L ATINX

6.0%

3.5%

3.6%

4.4%

4.8%

6.2%

4.5%

9.1%

24.1%

NATIVE AMERICAN AND AL ASKA NATIVE

0.5%

0.0%

0.3%

0.3%

0.3%

0.6%

0.6%

0.4%

0.4%

NATIVE HAWAIIAN AND PACIFIC ISL ANDER

0.2%

0.0%

0.1%

0.1%

0.2%

0.2%

0.2%

0.4%

1.1%

WHITE

55.1%

72.7%

69.4%

65.6%

63.9%

53.4%

50.9%

64.2%

44.9%

MULTIRACIAL

1.8%

0.5%

0.8%

1.0%

1.0%

2.0%

1.8%

2.0%

1.6%

DEMOGRAPHIC

DEMOGRAPHIC

17

Introduction

Population

The state of diversity & inclusion

Conclusion

Core

Broader

Our core Microsoft business
Notable highlights

Population growth in our core Microsoft business*

Overall growth

GLOBAL WORKFORCEGROWTH••

Microsoft’s global core
workforce increased

16.2%

in 2022, the highest yearover-year growth in thepast five years, while US
core workforce increasedby 12.2%.

••

The population of Asian, Black and African American,
Hispanic and Latinx, Native Hawaiian and PacificIslander, and multiracial communities had higher
growth than Microsoft’s core workforce growth.
The population of Black and African American andmultiracial employees has more than doubled
since 2018.
The population of Native American and Alaska
Native employees declined 3.5% year over year.

Leadership••

The numbers of womenat Partner + Executive
and Director levels across
Microsoft’s global core
workforce have more thandoubled since 2018.

The population of women globally grew by 20.2%
year over year and continues to outpace thatof Microsoft’s global core workforce, with 2022
showing the strongest growth in the past five years.

•

The numbers of Black and African American,
Hispanic and Latinx, Native American and Alaska
Native, and multiracial People Managers have eachmore than doubled since 2018.

2021-2022+16.2%

2018-2022+56.7%ALL CORE
MICROSOFTEXECUTIVE

PARTNER +EXECUTIVE

DIRECTORPEOPLEMANAGERINDIVIDUALCONTRIBUTOR(NEW DEFINITION)TECHNICALROLES

NON-TECH ROLESINCLUDES RETAIL(NEW DEFINITION)RETAIL2021-2022+20.2%+20.3%+27.7%+28.3%+25.0%+19.4%+46.2%-13.3%-15.2%

2018-2022+81.3%+97.8%+102.2%+112.3%+95.4%+79.3%+159.4%+9.8%-41.0%

2021-2022+14.6%+14.4%+14.3%+19.8%+17.1%+14.1%+35.6%-43.9%-19.9%

2018-2022+47.9%+51.2%+46.9%+74.7%+56.7%+46.4%+85.4%-37.3%-48.8%

2021-2022+13.2%+12.7%+24.9%+22.9%+21.6%+11.8%+17.7%-15.8%-22.6%

2018-2022+61.3%+82.1%+86.2%+114.4%+91.2%+56.7%+72.3%+1.6%-49.4%

2021-2022+30.0%+20.0%+19.1%+40.0%+36.0%+29.2%+61.6%-9.6%-13.9%

2018-2022+130.5%+200.0%+153.1%+169.9%+191.5%+124.1%+245.1%+32.2%-47.9%

2021-2022+21.8%+10.0%+11.8%+29.4%+21.7%+21.8%+47.6%-15.8%-17.7%

2018-2022+83.5%+57.1%+112.2%+119.6%+106.1%+80.3%+153.3%+7.9%-42.4%

2021-2022

-3.5%

0.0%

0.0%

+8.4%

+14.9%

-7.0%

+6.3%

-34.0%-50.0%

2018-2022+14.0%—+50.0%+171.1%+126.5%+2.2%+27.3%-25.3%-63.6%

2021-2022+13.7%

0.0%

0.0%+10.3%-14.7%+20.3%+34.4%-7.9%-50.0%

2018-2022+25.5%

0.0%

0.0%+77.8%+38.1%+23.6%+71.2%-10.9%-72.4%

2021-2022+7.7%+16.8%+10.5%+13.9%+12.7%+6.5%+25.3%-26.1%-27.8%

2018-2022+21.7%+45.1%+32.2%+47.2%+35.5%+18.6%+46.8%-21.7%-57.7%

2021-2022+17.7%+200.0%+52.0%+31.5%+26.0%+16.5%+31.0%-10.9%+5.7%

2018-2022+103.2%+500.0%+245.5%+198.6%+200.9%+93.9%+132.6%+45.6%-15.9%G L O B A L D ATA
WOMEN

MEN

US WORKFORCEGROWTH

2021-2022+12.2%

2018-2022+43.6%U S D ATAASIANBL ACK AND
AFRICANAMERICANHISPANIC AND
L ATINX

NATIVEAMERICAN AND
AL ASKA NATIVEThe numbers of all racial and ethnic minorities at the
Director level have each more than doubled since
2018, except for Native Hawaiian and Pacific Islander.

NATIVEHAWAIIAN
AND PACIFICISL ANDER

The numbers of Black and African American
employees in leadership at all levels have more thandoubled since 2018.

WHITE

MULTIRACIAL* Percentages are calculated to the 1/100th but rounded and published in 1/10th. ”—” indicates a mathematically undefined term that results when the starting point is zero.

18

Introduction

Talent architecture

The state of diversity & inclusion
Core

Broader

We use talent architecture, amodern data framework thatstructures all work and roles at thecompany, to improve the employee
experience by providing more
information about roles, careerdevelopment opportunities, andskills aligned to the market.

Our core Microsoft business
Notable highlights
Moving to our updated definitions of technical roles
did not change our year-over-year progress on
representation for the following groups globally in
our core business.
•

•

•

•

We launched our talent architecture
initiative a few years ago to better position
Microsoft to grow and develop ourtalent. As we get closer to finishing theimplementation of our new framework, weare redefining the definition of technicalroles to include employees in professions
and disciplines that are directly involved in
the technical creation and deployment ofMicrosoft products and services, including
Software Engineering and several otherdisciplines involved in:Conclusion•

Representation of women in technical roles
increased 1.4 percentage points using both theupdated and prior definitions.
Representation of Native American and Alaska
Native employees decreased 0.1 percentage points
using both the updated and prior definitions.
Representation of Native Hawaiian and PacificIslander employees was unchanged year over year
using both the updated and prior definitions.
Representation of multiracial employees intechnical roles increased by 0.1 percentage points
using both the updated and prior definitions.

Technical Production Code,
Hardware, Research, and Data
Infrastructure•

Technical Customer Solutions•

Technical Program Management,
Content, and Experience

Representation change in technical roles 2021-2022*
The updated definitions, however, impacted year-overyear representation progress for other groups in the US
in our core business.
•

•

•

•

Representation of Asian employees in technical roles
decreased 2.5 percentage points using the updated
definitions but would have risen 0.6 percentage
points using the prior definitions.
Representation of Black and African American
employees in technical roles increased 1.3 percentage
points using the updated definitions but would haverisen 0.8 percentage points using the prior definitions.
Representation of Hispanic and Latinx employees intechnical roles increased 1.0 percentage point using
the updated definitions but would have risen 0.7
percentage points using the prior definitions.
Representation of white employees in technical roles
increased 0.1 percentage points using the updated
definitions but would have decreased 2.1 percentage
points using the prior definitions.

U P D AT E D
DEFINITIONSPRIORDEFINITIONS

WOMEN

+1.4%

+1.4%

MEN

-1.4%

-1.4%

ASIAN

-2.5%

+0.6%

BL ACK AND
AFRICAN AMERICAN

+1.3%

+0.8%

HISPANIC AND
L ATINX

+1.0%

+0.7%

NATIVE AMERICAN
AND AL ASKA NATIVE

-0.1%

-0.1%

NATIVE HAWAIIANAND PACIFIC ISL ANDER

0.0%

0.0%

WHITE

+0.1%

-2.1%

MULTIRACIAL

+0.1%

+0.1%

G L O B A L D ATAU S D ATA

* Refers to percentage point change. Percentages are calculated to the 1/100th but rounded
and published in 1/10th.

19

Introduction

The state of diversity & inclusion
BroaderInnovation spotlight

Evolving understanding of identity globally

Taking the time to understand and explore identity at acompany of our size might seem overwhelming. And yet
we know the human experience inside and outside theworkplace is defined by the need to be seen and valued.
By creating globally relevant D&I initiatives, resources,
and frameworks, we’re able to anchor to our core
concepts, such as allyship, covering, and privilege, while
also making sure they are impactful at the local level,aligned to each country’s laws and regulations.
“Using these globally defined concepts,
it’s powerful when you can say, ‘Here’s
this definition. Let’s apply it to what’s
happening locally.’ And then you haveleaders and employees engaging in thatconversation, sharing their own stories.”
Jocelyn Moore, General Manager,
Global Diversity & Inclusion, Microsoft Customer andPartner Solutions (MCAPS) & Geographies

Conclusion

Core

India
India’s plurality and multiplicity provide a rich andcomplex context for our work on various aspects of
D&I. Microsoft leaders in India were invited to explore
core concepts such as allyship, covering, and privilege
and share how these ideas relate to local interactions
and social norms. Powerful conversations on aspects ofidentity such as region, language, disability, orientation,and background have created opportunities for people
to discuss challenging but critical topics in ways thatencourage empathy, invite personal reflection, and enable
vulnerability. This has opened up new, locally relevant
opportunities to broaden awareness, mitigate bias, andshift behaviors.
“Leadership in India is investing inlearning to understand the complex andmulti-dimensional nature of these D&I
subjects locally. Tapping into the insightsfrom experts in academia and engaging
in discussions that reflect varied contexts,
we are able to deepen our awareness of the contours andnuances of racial, ethnic, and gender diversity in India. By
listening and learning from diverse perspectives and lived
experiences, we hope to become allies for all.“Ira Gupta, General Manager, Human Resources, Microsoft India

Australia and New Zealand
In Australia and New Zealand, we added options for
employees to self-identify their culture, ethnicity, andIndigenous status for the first time this year. We worked
closely with local teams, strategic external partners, andothers to understand the nuances that would make these
options appropriate and relevant for these countries.
Employees in Australia and New Zealand also now havethe option of self-identifying as a caregiver for children
and/or adults/elders.

“At Microsoft Australia and New Zealand,
we’re committed to creating a workplaceculture where all people feel heard,
valued, and respected. A core part of
how we’re able to do that is throughself-ID, which enables us to make progresson our goal to create the most inclusive environment we can.
It will help empower us to make more inclusive decisions
around employee benefits and learning and development,
and it allows for a more consistent employee experience.”
Steven Worrall, Corporate Vice President,
Microsoft Australia and New ZealandUnited Kingdom
As part of our wider efforts to increase opportunities
for our employees to self-identify outside the US, welaunched self-ID based on race and ethnicity in the
United Kingdom in November 2020. Partnering withleaders, ERG chapters, and regional teams, we continued
to share with employees that voluntarily answering
the survey was critical to help us better understandcommunity needs—whether they opt to disclose theiridentity or simply choose “I don’t wish to answer.” In the
two years since launch, self-identification response levels
rose from 10% to 65%. We still have much work to do,
but we are encouraged by the progress so far.

Greater China Region (GCR)
This past year GCR GLEAM Employee Resource Group(ERG) built momentum around supporting the LGBTQIA+
community across Greater China. The community hosted
an online panel discussion with external leaders from the
LGBTQIA+ community in mainland China, Hong Kong,
and Taiwan; established a new employee connection
channel; and explored issues that matter with membersof the LGBTQIA+ employee community as part of theGCR Inclusion Conference.

“Self-ID is crucial to how we’re able toretain and develop talent. Fundamentally, our employees want to know
they are part of an organization thatmeasures what matters and takes action
where needed. Having a workforce of
employees with many different backgrounds, experiences,and identities is essential for us to be able to serve ourcustomers, country, cities, and populations, while being
representative of the places we live and work in.”

“I am very proud of the progress that
GCR GLEAM has made in the past few
years, going from very little awareness of
LGBTQIA+ issues among employees toa strong support for these conversations
across Greater China. Even to the pointof creating a culture where some employees have felt safeenough to fully be themselves at work.”

Zephaniah Chukwudum,
Director, Local Government Account Team Unit (ATU), Microsoft UK

Roan Kang, General Manager of Marketing & Operations,
Microsoft GCR, and executive sponsor of GCR GLEAM

For a company as large and global as
Microsoft, conversations of identity
are broad and deep. We look forward
to staying curious and expanding ourawareness and conversations around
dimensions of identity worldwide.
20

Introduction

The state of diversity & inclusion
Broader

Self-identification in the US
As the Microsoft workforce grows
in number and diversity, we havethe opportunity to increase how
employees can self-identify. In theUS, we’ve expanded some options
for self-identification this year andare sharing some new insights forthe first time. While participating
in self-ID is always a voluntary andpersonal decision, by continuing toevolve our options, we aim to create
an even more inclusive experiencefor employees. Self-identification
increases the accuracy of ourdata and ensures that Microsoft
is making principled program
decisions on benefits, resourcing,and support.

ConclusionCore

Our core Microsoft business
Gender identity and sexual orientation

Dimensions of multiracial identity

We offer employees the choice to identify on thebasis of their sexual orientation, their gender identity(including options that go beyond binary genderterms), and/or as transgender in 28 countries including
the US. We are continuing to explore how to expand
beyond the markets where these self-ID questions are
currently offered.

For the first time this year, we’re sharing added details on
the population of US employees who identify as multiracial. When employees self-identify as multiracial, they
now have additional options to be more specific about
their racial and ethnic identities. Creating this additional
space for employees to identify helps us gather moreactionable data. But more importantly, we’ve heard from
employees that having these options can help people feel
more seen and included in the workplace.

“One goal of expanding
self-identification is toaffirm the many nuancesof identity, including
identities outside of or
between the gender binary.
A focus on trans and non-binary people isa necessity because our communities areat the center of critical attempts to limit
human rights across the US and the globe.
Non-binary people are also too often
pushed to the side because of a limited
and binary understanding of gender.
A small but important part of this work is
feeling seen through the available selfidentification options.”
Sarah Bender, ERG & Community Experience Team Lead,
Global Diversity & Inclusion, Microsoft

Multiracial representation details*
ASIAN

41.0%

28.1%

BL ACK AND
AFRICAN AMERICANN AT I V E A M E R I C A N A N D
A L A S K A N AT I V E

29.8%

H I S P A N I C A N D L AT I N X

12.4%

N AT I V E H A W A I I A N A N D
PAC I F I C I S L A N D E R

3.9%

76.4%
WHITE

Dimensions of Asian identity
We’ve also expanded the options for Asian employees in the US to identify theirbackgrounds in further detail. The Asian community is the single largest racial andethnic minority group within our company, encompassing more than 20 sub-identities
and we recognized the importance of evolving the options. We aim to expand thedetail we share in future reports once we have representative participation in thisadditional layer of self-identification.
* Percentages are calculated to the 1/100th but rounded and published to the 1/10th. The total doesn’t add up to 100 because employees
providing multiracial detail may select two races and ethnicities.

21

Introduction

The state of diversity & inclusion
Broader

Military self-identification

ConclusionCore

Our core Microsoft businessUS employees with military status
We offer employees the choice to identify as a personwith military experience in 38 countries including theUS. We’re publishing data on representation of US
employees with military status for the first time this year.
Microsoft employs thousands of veterans and reserve
service members in many countries around the world.
We work closely with the Military at Microsoft Employee
Resource Group and our Military Affairs team to attract
and retain more employees with valuable military
experience, increase access to career development
opportunities, and learn how we can better support the
military community within and beyond Microsoft.
We do so through efforts such as extending paid
military leave of absence for employees called to serveand through the Microsoft Software and Systems
Academy (MSSA), a training and job placement programthat helps military service members and veteranstransition to the civilian workforce and meaningfulcareers in tech.

By adding the military self-identification option, we aim
to create more visibility for members of the Microsoft
military community, spark discussion about the military
experience at Microsoft, and better understand andsupport the diversity of our workforce. We aim to expand
the detail we share in future reports once we have representative participation globally.

Notable highlights•

As of June 2022, 4.7% of US employees in our core
Microsoft business self-identified as having served in
the US Armed Forces or as having Protected Veteranstatus. This is a 0.4 percentage points increase
from 2021.

•

Of all US core Microsoft employees, 79.6% completed
this portion of the anonymous survey this year, an
increase from 78.5% last year.

“Our military community comes from wide-ranging service assignments and backgrounds and areequipped with agility, problem-solving, and leadership skills that inspire the best from their team.
Microsoft embraces our strong employee community of military veterans in 38 countries withcommitted support. Programs like Microsoft Software and Systems Academy illustrate Microsoft’s
sustained commitment to the military community by developing the upcoming veteran talentneeded to fill key roles in Microsoft and over 1,000 Microsoft customers who hire from our program.”
Chris Cortez, Vice President, Military Affairs, Microsoft

22

Introduction

The state of diversity & inclusion
Broader

US employees with disabilities
More than one billion people aroundthe world live with a disability,
and at some point, most of us will
likely face some type of temporary,situational, or permanent disability.
Employment and education rates arelower and poverty rates are higher
for people with disabilities. From our25+ years of work on accessibility at
Microsoft, we’ve learned that people
with disabilities represent one of
the world’s largest untapped talentpools, and that inclusion of people
with disabilities is crucial to achieving
our mission.
“Our ambition is to fully
represent the populationof people with disabilities
across the globe, and wetake that seriously. Our
employee ‘Count Me In’campaign provides Microsoft employees
an opportunity to choose to be counted
in having a disability.”
Jenny Lay-Flurrie,Chief Accessibility Officer, Microsoft

ConclusionCore

Our core Microsoft business
Employees with disabilities have been the catalysts ofMicrosoft innovations including Learning Tools, live
captioning in Teams, the Xbox Adaptive Controller,
Microsoft Adaptive Accessories, Surface Adaptive Kit,
and many more. We continue to actively work to hirepeople with disabilities to bring their expertise into ourprocesses, products, and culture at every level. To ensure
we’re making investments at the right level and to better
understand our workforce of employees with disabilities,
we encourage people to voluntarily self-identify as
having a disability. We currently offer this option in 46
countries including the US. We aim to expand the detail
we share in future reports once we have representative
participation globally.
This past year, 36.0% of US core Microsoft employees
completed this portion of the anonymous survey, adecrease from 43.4% last year.

As of June 2022,

7.8%

of US employees in our core
Microsoft business self-identify
as having a disability, up 0.7
percentage points from 2021.

Disability is part of the human experience, and as we
continue to live with the impact of the pandemic, wewill continue to learn more about long COVID, mental
health, and neurodiversity. This insight will increase bothunderstanding of disability and the number of people who
identify as having a disability.
There’s much more to learn. As more people experiencesome form of disability in their lives and among thosearound them, we continue to strive to foster a safe environment and welcoming culture where everyone can bring
their authentic selves to work, inclusive of their disability.

23

Introduction

The state of diversity & inclusion
BroaderCore

Innovation spotlight

Inclusive hiring and innovating access to tech careers

At Microsoft, we know that a workforce made up of people of all
backgrounds, skills, and experiences expands our perspectives,
accelerates innovation, and makes us more competitive. And we’re
clear that a lack of different perspectives is not because of a lack oftalent, but because of a lack of access. This compels us to innovatein order to increase access into technology careers, changing thesystem by opening up new entry points to people outside traditional
academic paths or experiences.

“At Microsoft, we truly believethat different perspectives
and experiences make us
better—more creative, morecompetitive, and more innovative.
We’re focused on creating
opportunities and pathways for candidates who
have a breadth of skills, a growth mindset, anddesire to learn, regardless of how they foundtheir way into tech.”
Lauren Gardner, Corporate Vice President,
Global Talent Acquisition, Microsoft

Conclusion

Examples of our programs include:•

The Microsoft Neurodiversity Hiring Programis designed to give candidates the opportunity
to showcase their unique talents while learning
about Microsoft as an employer of choice. Over thecourse of four days, candidates engage in interview
preparation activities, gain a better understanding ofMicrosoft’s culture, and meet with members of theneurodiverse community.

•

Microsoft Leap’s mission is to recruit, develop,
and upskill talent that might not traditionally havepathways into technology careers. Our program isdesigned to be an integrated learning experience
combining classroom learning (in person or
virtual) with on-the-job training. Microsoft Leap
prioritizes non-traditional candidates with a range ofbackgrounds, skills, and experiences who showcase
creativity, commitment, resilience, and problemsolving ability. Having established our presence in the
US, Canada, Latin America, Nigeria, Kenya, and Ireland,
we are committed to expanding our global footprint
and partnering with shared communities.

•

For the HBCU Cybersecurity Industry Collaboration
Pilot, we partnered closely with Abbott and Raytheon
Technologies. This program, led by Advancing
Minorities’ Interest in Engineering (AMIE) in
collaboration with the deans of Hampton University,
North Carolina A&T, Virginia State University, andPrairie View A&M University, builds capacity incybersecurity and connects students to educationaland career opportunities.

“Partnerships between learning institutions
and for-profit companies are critical forshared growth. Our goal with this initiative
is to enhance cybersecurity curricula at
Historically Black Colleges and Universities(HBCUs), so we can provide students withmore opportunities for future careers in the burgeoning
field of cybersecurity, and Microsoft can also learn fromthe workforce of the future.”
Brissa Quiroz, PhD, Lead, University Relations, Microsoft

Few companies in the world hire at the scale of Microsoft, both in terms of volumeof hires and breadth of roles. Along with opening up innovative pathways into
technology, we also focus on inclusive hiring, which requires consciously setting
aside preconceived notions of the kinds of experiences that employees should have.
This year, we enhanced our interview and hiring processes with an updated inclusive
hiring training required for all managers and available to interviewers.
24

Introduction

The state of diversity & inclusion

Racial Equity InitiativeCore

Broader

We’re committed to addressing
racial injustice and inequity for Blackand African American and Hispanicand Latinx communities and to
helping improve lived experiencesat Microsoft and beyond.
Our Racial Equity Initiative,
announced in June 2020 for ourcore US Microsoft business, focuseson three multiyear pillars, eachcontaining actions and progress we
expect to make or exceed by 2025.

Conclusion

Our core Microsoft business
Our Racial Equity Initiative pillars

Progress highlights•

Strengthening our communities: We’re using data,technology, and partnerships to help improve thelives of Black and African American people in the US,
including our employees and their communities.

We’re encouraged by our momentum toward fulfilling our
representation commitments by 2025. As of June 2022:•

Increasing representation and strengthening
a culture of inclusion: We’re building on our
momentum, adding a $150 million investment tostrengthen inclusion and double the number of US
Black and African American and Hispanic and Latinx
people managers, senior individual contributors, andsenior leaders by 2025.

•

Engaging our ecosystem: We’re using ourbalance sheet and relationships with suppliers andpartners to foster societal change and create newopportunity.

Black and African American

PEOPLE MANAGERS(BELOW DIREC TOR LE VEL)

D I R E C TO R S , PA R T N E R S ,AND EXECUTIVES(INCLUDINGPEOPLE MANAGERS
AND INDIVIDUALCONTRIBUTORS)

of our 2025 commitmentof our 2025 commitment

116.0%

92.0%

Hispanic and Latinx

PEOPLE MANAGERS(BELOW DIREC TOR LE VEL)

D I R E C TO R S , PA R T N E R S ,AND EXECUTIVES(INCLUDINGPEOPLE MANAGERS
AND INDIVIDUALCONTRIBUTORS)

of our 2025 commitmentof our 2025 commitment

46.5%

57.6%

Read more about these commitments andupdates on our progress across these pillars.

25Introduction

The state of diversity & inclusion

Racial Equity Initiative

Conclusion

Core

Broader

Our core Microsoft business
Development and learning

Student opportunities•

We collaborate with Historically Black Colleges andUniversities (HBCUs) and Hispanic-Serving Institutions(HSIs) to enable students in these communities to pursue
studies and careers in computer science and related fields.

••

We’ve launched 38 cohorts of our opt-in
differentiated development programs for mid- andsenior-level leadership to date, with further staged
cohorts planned for next year and beyond. During
the nine-month experience, direct managers of allparticipants are required to participate in a parallel
track to grow how they understand and support
their employees.
More than 98% of employees have completed
required D&I learning courses on allyship, covering,
privilege, and unconscious bias in the workplace.
These concepts form the basis of shared language
and understanding that build the foundation for
long-term habit formation and change throughout
the organization.

By pairing financial support with direct collaboration on
curriculum design, recruiting, and career mentorship,
we can advance dialogue and learning on both sides tosupport student success.
We’ve established partnerships with three HSIs and 18
HBCUs. And as part of our Racial Equity Initiative, we’ve
provided $8 million in funding over the past two years to
HBCUs, and Microsoft employees have donated over$1.1 million.

Through the external-facing
Inclusion Journey site, we continue toengage with our ecosystem. We learn
from experts who speak to critical
topics such as how to create a cultureof inclusion for members of the Blackand African American community,from Dr. Lawrence Bobo, and formembers of the Hispanic and Latinx
community, from Dr. G. Cristina Mora.

We introduced the Race and Ethnicity Learning
Path as the first of four personalized, voluntary D&I
learning experiences for employees.
Watch the full interview with Dr. Lawrence Bobo

Watch the full interview with Dr. G. Cristina Mora

26

Introduction

The state of diversity & inclusion
BroaderConclusionCore

Our efforts in this area include:

Innovation spotlight•

Advocating for the Equality Act in the US and marriage
equality in the US, Taiwan, Chile, and Switzerland•

Collaborating with the United Nations on its global
Standards of Conduct for Business to tackle discrimination
against LGBTQIA+ people•

Signing on in support of the UN LGBTIQ+ Standards Gap
Analysis Tool, which aims to help companies do their partto counter human rights violations and promote LGBTQIA+
inclusion in the workplace and beyond•

Joining the Human Rights Campaign in the state of Texasand signing an ad opposing criminalizing parents’ efforts
to help transgender children access medically necessary,
age-appropriate care

Public policy on a local and global scale

At Microsoft, we’ve long leveraged our platform to influence
policy change and address issues that impact the lived
experience, safety, and fundamental rights of employees andtheir communities around the world. At times our advocacy
has taken the industry lead; for example, we were one of thefirst organizations to advocate publicly for marriage equality
in Washington State in 2011.
Because we know many voices are more effective than asingle voice, we often partner closely with other organizationsin the US and around the world. This was true in July 2022,
when we signed a letter, along with more than 150 othercompanies and the Human Rights Campaign, in support of
the Respect for Marriage Act to protect marriage equality
across the US.
We regularly engage with governments, public institutions,and standards bodies across a range of issues, such as taking
global action on behalf of our employees to accelerate
LGBTQIA+ equality and inclusion globally.

“Thoughtful engagement is how wemake progress on the issues thatmatter. By leveraging our platform
and working collaboratively withpartners, Microsoft helps drive change
and works to address critical issues
impacting the rights of our employees and those in
the communities where we live and work.”
Fred Humphries, Corporate Vice President,
US Government Affairs, Microsoft

In addition, we’ve taken action on other key issues:•

Continued to advocate for immigration reform and theprotection and strengthening of the US Deferred Action
for Childhood Arrivals (DACA) program, including offering
pro bono legal services to 88 DACA recipients•

Partnered to support more accessible digital city services
for people with disabilities through a new procurement
model under an inclusive cities project with G3ict, the G20
Smart City Alliance, and the World Economic Forum•

Partnered with the Center for Civic Design to launch the
Disability Voting Index, a new tool that offers a single,
centralized location to quickly search and understandaccessibility options in all 50 states so that more people
with disabilities can participate in the electoral process•

Been a signatory since 2010 to the UN’s Global Compact
Women’s Empowerment Principles•

Advocated for voting rights protections in the stateof Georgia

In some situations and locations, public policy advocacy may not
be the most appropriate way to move the needle on issues such as
LGBTQIA+ rights. In these cases, we focus more on what researcher
Kenji Yoshino calls the “Embassy” model. In research with Microsoft,
he explains this means providing inclusive policies and practices
to our own employees while also building internal awareness andcapacity. In all our decisions and actions, we intentionally center therights and safety of employees.

“It’s really hard to believe that you
belong in an organization if you
believe the organization doesn’t see
who you truly are.”Kenji Yoshino, Chief Justice Earl Warren Professor of Constitutional Law,NYU School of Law and author of Say the Right Thing: How to Talk About
Identity, Diversity, and Justice27

Introduction

Exits

The state of diversity & inclusion
Core

BroaderThis year, for the first time, we’rereporting data on workforce exitsof employees who have left thecore Microsoft business voluntarily
or involuntarily, by women and men
globally and race and ethnicity in
the US.
These numbers reflect the exits
by members belonging to aparticular group as a percentage
of total employee exits within therespective year.

Conclusion

Our core Microsoft business
Notable highlights•••

This year, exits representation for Black and African American employees
was lower than headcount representation, 5.9% versus 6.6%, and exits
representation declined 0.3 percentage points year over year. Last year, exits
representation for this group was higher than headcount representation,
6.1% versus 5.7%.
For Hispanic and Latinx employees, exits representation was below
headcount representation both this year and last but rose by 0.4 percentage
points year over year to 7.1%.
In 2022, exits representation for Asian (38.3%), Native American and Alaska
Native (0.5%), and multiracial (3.0%) communities increased year over year
and was greater than headcount representation (35.8%, 0.4%, and 2.6%,
respectively).

Exits representation for 2021 and 2022
2021

2022

WOMEN

27.8%

27.6%

MEN

72.2%

72.4%

ASIAN

33.3%

38.3%

BL ACK AND ​AFRICAN AMERICAN

6.1%

5.9%

HISPANIC AND
L ATINX

6.7%

7.1%

NATIVE AMERICAN AND
AL ASKA NATIVE

0.3%

0.5%

NATIVE HAWAIIANAND PACIFIC ISLANDER

0.2%

0.3%

WHITE

50.6%

44.8%

MULTIRACIAL

2.7%

3.0%

G L O B A L D ATAU S D ATA

* Percentages are calculated to the 1/100th but rounded and published in 1/10th.
Totals may not equal 100% due to rounding or because denominators include
people who choose not to disclose.

28

Introduction

The state of diversity & inclusion
Core

BroaderInnovation spotlight

Employee experience

We set standards with our employee experienceso that employees feel supported and engaged
in all the moments that matter at work andbeyond. Our approach is informed by an
evolving understanding of employees’ identities
and needs across life phases, cultures, family
structures, personal and career goals, and more.

Conclusion

Benefits

Flexible work

We’ve been a longstanding leader in inclusive benefits.
For instance, in 1993, Microsoft was one of the first Fortune
500 companies to provide same-gender domestic partner
benefits. We continually evolve our offerings based on
external environments and employee feedback.

Flexibility for how and where work gets done has neverbeen more important. We learned a lot during the
COVID-19 pandemic and are applying those learnings
and more to the hybrid offerings we provide to all
employees. Even before the pandemic, many of ourroles allowed for some degree of flexibility for when
and where work gets done. With new hybrid work
learnings, we encourage all employees and managers
to challenge assumptions so that we may offer the mostflexibility possible.

Our offerings, depending on local laws anddemand, include:•

Parental and caregiver leave for all employees,
regardless of gender or family structure•

Family planning, fertility, and adoption support•

Gender-affirming healthcare services•

Disability accommodations and support•

Full-coverage health care, including mental health care

Since 2021, we’ve added:•

Paid COVID-19 leave for caregivers, rolled out inJanuary 2022, and still available to all employees•

Paid leave for parents facing extended school
closures during the COVID-19 pandemic, offeredfrom April 2020 to June 2022; and vaccine childcare
support leave for children under five currently
still available•

Well-being support for all employees

We also know that flexible work does not solve thechallenges companies face around D&I. In the workplace
reshuffle, it becomes even more critical to create inclusive
experiences and cultures.
One of the ways we do this is by continually working
to broaden our understanding of what inclusion looks
like and how it feels. Inclusion is about unlocking anexperience—being actively incorporated, valued, andrecognized in a meaningful work experience. Inclusion
is ultimately about how people notice their contributions showing up, influencing the trajectory of projects,
outcomes, and perspectives.

At Microsoft, we encourage employees to be intentional
and to ask, “How can we continue to be inclusive of every
person, especially when not everyone might be in the sameroom?” We lean into our practice of allyship—for example,
when inviting someone into a project, we’re conscious tocreate the conditions for people to succeed across timezones and modalities.
We leverage our employee listening tools to understandwhat employees feel and what they need. And we look to
research, including our own, to truly understand employees’
preferences without making assumptions. For instance,a recent survey of our employees uncovered that preferences for fully remote, or 100% work from home (WFH),
are relatively similar between men and women. This dataempowers our HR leaders and managers to support theiremployees’ flexibility preferences without making gender-based assumptions around preferences and needs.
It’s also important not to conflate collaboration with inclusion.
Not all collaboration leads to inclusion; collaboration ispart of, but not the end of, inclusion. For example, ensuringsomeone has the opportunity to share their perspective,
but then not taking their suggestions into consideration,
does not result in the person feeling more valued or part of
the team. Because of this, inclusion in the hybrid workplacemust go beyond tooling to encompass behavior.

Access to healthcare
We understand that for some populations, certain
essential healthcare services may be difficult for
employees to access where they live. We have extended
our existing limited travel benefit to include travel
expense support for medical services—including
services such as abortion and gender-affirming
care—covered in the US health plans where access tocare is limited in availability in an employee’s homegeographic region.

Binna Kandola, business psychologist andco-founder of Pearn Kandola, explores
microaggressions, bias, and exclusionin the workplace so that we can better
understand how to continue to strengthen
inclusive behaviors.

Watch the full interview with Binna Kandola
29

Introduction

Pay equity

The state of diversity & inclusion
Broader

At Microsoft, we are committed
to the principle of pay equity.
Pay equity accounts for factorsthat legitimately influence total
pay, including things like job title,level, and tenure. Our pay equity
analysis adjusts for these factors
in support of our commitment
to pay employees equitably for
substantially similar work.

Total pay
This pay equity data represents
total pay.
Our total pay analysis considers
base, annual bonus, andstock awards at the time ofannual rewards for rewardseligible employees.** All Microsoft employees are eligible for rewards if they have worked more than 90 days in the fiscal year,
provided they are still employed during the rewards period. For this reporting period, rewards-eligible
employees were 87.9% of our total core workforce.

ConclusionCore

Our core Microsoft business
R ACIAL AND ETHNICMINORITIES IN THE US$1.008

As of September 2022, inside the US, all racial and ethnic minorities who are rewards
eligible combined earn $1.008 total pay for every $1.000 earned by US rewards-eligible
white employees with the same job title and level and considering tenure.
Specifically, for those who are rewards eligible, US Black and African American
employees earn $1.004; Hispanic and Latinx employees earn $1.002; and Asian
employees earn $1.011 for every $1.000 earned by US rewards-eligible white
employees with the same job title and level and considering tenure.

WOMEN IN THE US

As of September 2022, inside the US, women who are rewards eligible earn $1.007 total
pay for every $1.000 earned by rewards-eligible employees who are men and have thesame job title and level and considering tenure.

WOMEN OUTSIDE THE US

As of September 2022, outside the US, women who are rewards eligible earn
$1.002 total pay for every $1.000 earned by men who are rewards eligible with thesame job title and level and considering tenure in these combined geographies.

$1.007$1.002In this year’s report we again expanded our pay equity data beyond the US toreport on 61 additional countries (up from 12 last year). We have included all
countries with 30 or more employees and at least five men and five women, toensure statistical reliability. The employee population of these 61 countries plus the
US population represents 99.8% of our global Microsoft workforce.** Argentina, Australia, Austria, Belgium, Brazil, Bulgaria, Canada, Chile, China, Costa Rica, Colombia, Croatia, Czechia, Denmark, Egypt, Estonia,
Finland, France, Germany, Greece, Hong Kong, Hungary, India, Indonesia, Ireland, Israel, Italy, Japan, Jordan, Kenya, Korea, Malaysia, Mexico, Morocco,
Netherlands, New Zealand, Nigeria, Norway, Peru, Philippines, Poland, Portugal, Puerto Rico, Qatar, Romania, Saudi Arabia, Serbia, Singapore, Slovakia,
Slovenia, South Africa, Spain, Sweden, Switzerland, Taiwan, Thailand, Turkey, Ukraine, United Arab Emirates, United Kingdom, United States, Vietnam30

The state of diversity & inclusion
BroaderConclusion

Core

Median unadjusted pay analysis
To further highlight the opportunity
to continue to make progress
on representation at all levels of
the company, we have chosen to
voluntarily disclose the unadjusted
differences in median total pay
at Microsoft.

Our core Microsoft business
Pay equity analysis (adjusted pay) vs. median unadjusted pay analysis

How representation affects differences in median unadjusted pay

Understanding median pay

The median is the middle value of a data set. Therefore, median pay for a groupof employees represents the value where half of the employees in that group are
paid higher than that point and half of the employees in that group are paid lower.

There are a number of factors that legitimately influence total pay, including things like job
title, level, and tenure. The analysis that takes all of those factors into account is referred
to as pay equity analysis, or adjusted pay analysis. This supports our commitment to pay
employees equitably for substantially similar work.

Understanding median unadjusted pay analysis

We have voluntarily reported our pay equity figures since 2016, and while pay equity is a
critical factor, it is only one factor in how we think about D&I progress. We must also look
to any differences in median pay when we don’t adjust for things like job title, level, and tenure.

A median unadjusted pay gap is the difference in median
total pay between any two employee groups.

Median unadjusted pay analysis gathers the total pay amounts for all employees across acompany, regardless of factors such as job title, level, or tenure, sorts those amounts byvalue, and then identifies the number that is in the middle, or median, of all of those data
points. The difference between that median pay amount for any two employee groups
is referred to as a median unadjusted pay gap. Reviewing any differences gives anotherinsight into representation across the company. We are making meaningful progress on
representation, and to ensure we remain committed to continued improvement, we will
now also share visibility into differences in median unadjusted pay figures.
For employees in the US who are eligible for rewards,* the median unadjusted pay analysis
shows total pay for women is 89.6% of total pay for men. For employees outside of the US
who are eligible for rewards, the median unadjusted pay analysis shows that the total pay
for women is 86.2% of total pay for men.
For employees in the US who are eligible for rewards, the median unadjusted pay
analysis shows that the total pay for racial and ethnic minorities is 89.9% of total pay forwhite employees. Specifically, for employees in the US who are eligible for rewards, themedian unadjusted pay analysis shows that the total pay for Black and African American
employees is 76.7%; for Hispanic and Latinx employees is 81.6%; and for Asian employees
is 94.6% of the total pay for white employees.
As we continue to increase representation for women and racial and ethnic minorities atmore senior levels, and continue to ensure pay equity for all, the gap between the medians
will reduce. This additional data transparency will help us continue to strengthen ourcommitment to increasing representation at all levels and in all roles.

* All Microsoft employees are eligible for rewards if they have worked more than 90 days in the fiscal year, provided they are still employed during the
rewards period. For this reporting period, rewards-eligible employees were 87.9% of our total core workforce.

GROUP BGROUP AJOB LEVELSIntroduction

Medianunadjusted
pay gap

N U M B E R O F G R O U P M E M B E R S I N E M P L O Y E E P O P U L AT I O N

Example only. These graphics are for illustrative purposes onlyand do not represent any specific community or employee group.
31

Introduction

The state of diversity & inclusion
Broader

Employee Signals and thriving
It’s critical for us to understandhow employees feel about theirexperience, and that means
continually evolving our approach​so that we’re always measuring​
what matters.
In past years, we conducted
one lengthy, annual survey thatmeasured employee engagement
across the core Microsoft business.
In 2022, we optimized the way welisten by introducing Employee
Signals, which focuses on theemployee experience and runs
twice per year, helping us staycloser to employees’ feedback
and take more immediate action
in response.

ConclusionCore

Our core Microsoft business
Thriving

Notable highlights

With Employee Signals, we’ve shifted our focus from“engagement” to “thriving,” which we define as “being
energized and empowered to do meaningful work.”
We survey employees on three dimensions of thriving:energized, empowered, and meaningful work.

•

This year, thriving scores averaged 77 across thecompany—a number we see as strong, but one wemust still work on improving. When we broke down
thriving into its three components, we saw thatmeaningful work (79) and empowerment (79) bothscored higher among employees than energized (73).

•Globally, both men and women had an average thriving
score of 77, and meaningful work and empowerment
scores of 79. The only thriving difference showed up inenergized, with men at 73 and women at 72.

•

Black and African American and Hispanic and Latinx
employees report higher thriving scores (both at 78)
than the US average score of 76 and were the only two
racial and ethnic groups to score above the average.

This is designed to measure employees’ sense of
purpose, which is important to personal and professional fulfillment. We calculate average scores basedon participants’ responses on a five-point scale ranging
from “Strongly disagree,” which equals a score of 0, to“Strongly agree,” which equals a score of 100.

Written responses from the survey offer an opportunity
for deeper understanding. The most common thread
among those who were not thriving was a feeling of
exclusion, including a lack of collaboration, feeling left
out of decisions, and struggling with internal politics
and bureaucracy.
In contrast, thriving employees talked about a collaborativeenvironment and teamwork with colleagues, an inclusive
culture with autonomy and flexibility, and support for theirdevelopment and well-being.

Employee Signals 2022 survey results*
THRIVING

ENERGIZEDEMPOWEREDMEANINGFUL WORK

WOMEN

77

72

79

79

MEN

77

73

79

79

ASIAN

76

72

78

77

BL ACK AND A​ FRICAN AMERICAN

78

73

81

79

HISPANIC AND L ATINX

78

73

80

80

NATIVE AMERICAN AND AL ASKA NATIVE

76

73

78

78

NATIVE HAWAIIAN AND PACIFIC ISL ANDER

76

69

81

77

WHITE

75

70

77

78

MULTIRACIAL

73

68

76

75

G L O B A L D ATAU S D ATA

* Data visualization on this page is not to mathematical scale.

32

Introduction

Inclusion

The state of diversity & inclusion
Core

Broader

Understanding how included
employees feel is key to closing the
gap between the culture we aspire
to and the lived experience of every
person at Microsoft.

Conclusion

Our core Microsoft businessIn the past, we’ve used our Inclusion Index, part of theannual company survey, as a key indicator of employee
sentiment around inclusion.
This year, we sunset the Inclusion Index to focus on thefollowing sentiments in Employee Signals:

Employee Signals 2022 survey results*
Inclusive teamContribute to D&I•

In 2022, the “inclusive team” item scored 85 forwomen and 86 for men globally.

•

The “contribute to D&I” item scored 82 for both
women and men globally in 2022.

•

I feel included in my team.

•

•

•

I understand what is expected of me on a daily
basis to contribute to a diverse and inclusive
Microsoft.

Hispanic and Latinx, Native Hawaiian and PacificIslander, and white employees all scored 86, above
the US average of 85.

Hispanic and Latinx (82) and Native Hawaiian andPacific Islander (83) employees scored above the US
average of 80.

•

Black and African American and multiracial employees
scored 85, at the US average.

••

Asian (84) and Native American and Alaska Native
employees (83) scored below the US average of 85.

Black and African American, Asian, Native Americanand Alaska Native, and white employees scored at the
US average of 80.

•

The multiracial group (78) was the only employee
group to score below the US average.

Both items signal whether our collective efforts enable
everyone to feel included and deepen individual andorganizational D&I awareness, acumen, and adoption.
Employees respond to this question on a five-point“Strongly disagree” to “Strongly agree” scale similar tothat of our thriving items.
Employee Signals will continue to measure these two
aspects of D&I in each survey for the foreseeable future.
We also have the opportunity to include additional
topics on a rotating basis to measure other inclusion-related sentiment as needs evolve.

G L O B A L D ATA

G L O B A L D ATA
WOMEN

85

WOMEN

82

MEN

86

MEN

82

U S D ATAU S D ATA
84

ASIAN

80

BL ACK AND​A FRICAN AMERICAN

85

BL ACK AND
AFRICAN AMERICAN

80

HISPANIC AND
L ATINX86

HISPANIC AND
L ATINX

82

NATIVE AMERICAN AND
AL ASKA NATIVE

83

NATIVE AMERICAN AND
AL ASKA NATIVE80

NATIVE HAWAIIAN AND
PACIFIC ISL ANDER

86

NATIVE HAWAIIAN AND
PACIFIC ISL ANDER

83

WHITE

86

WHITE

80

MULTIRACIAL

85

MULTIRACIAL

78

ASIAN

* Data visualization on this page is not to mathematical scale.

33

Introduction

Feedback

The state of diversity & inclusion
Core

Broader

Along with Employee Signals,
we use many other formal andinformal feedback mechanisms tohelp us better understand the lived
experiences of employees. This
feedback gives us critical insightsthat inform the evolution of ourprograms as well as how we holdleaders and managers accountablefor driving change on D&I.

Conclusion

Our core Microsoft businessSample feedback sources:•

Microsoft Daily Pulse, a short survey sent toa random sample of 2,500 employees eachbusiness day•

Leadership Signals, a survey that provides insights
to senior leaders at the Partner level and above
about how employees view their effectiveness•

Employee lifecycle surveys such as onboarding,exit, and internal mobility surveys that help us
understand key moments in employees’ careers•

Location-specific surveys to understand theexperiences of employees in different parts of
the world•

The Manager Feedback Tool, designed for
employees to provide feedback on how their
managers are doing on model, coach, andcare behaviors•

Employee Resource Groups, which provide
meaningful community perspectives andcritical feedback•

Our internal social platform, Yammer, whichenables employees to engage in discussions about
important issues•

AskHR, our frontline HR support team, whichcollects feedback from employees•

Focus groups, which we host on a wide range of
topics, from the evolution of our company culture
to the benefits and services that would be mostmeaningful to the communities within Microsoft

Innovation spotlight

Shifting behavior

At Microsoft, we connect a growth mindset—ourcultural cornerstone—to D&I through the foundational
concept of allyship, which we define as “an intentional
decision to understand, empathize, and act in supportof others.”•

We started asking employees about their awareness ofthe concept of allyship in the workplace in 2019. At thattime, 65.0% of employees had some level of awareness.

•

In 2022, 90.3% of employees had some levelof awareness.

“Realizing D&I requires acquisition of
new skills as well as deep changes inbehaviors. We create the spaces andexperiences for awareness building,application of knowledge, andpracticing the skills that will empower
employees to ask the tough questions: ‘Who’s missing?
Whose perspectives are we not taking into account?
What policies do we need to change?’”

We can increase awareness of allyship further byintroducing allyship as early as employee onboarding
and continuing to reinforce this concept and create
opportunities for practice and application.

Diana Navas-Rosette, Senior Director, Global Diversity & Inclusion,Communities, Strategic Solutions, and Innovation, Microsoft

AllyshipWe know that inclusion is the result of actions we takeevery day in support of others, but traditional D&I
training has its limitations. To support the buildingof inclusive behaviors, we partnered with leading
academics to craft a unique employee learning
program, grounded in neuroscience and habit
formation. In addition to required learning for all
employees on allyship, covering, and privilege, we havepersonalized learning paths that allow our employees
to continue building knowledge and awareness whileproviding spaces for practice, social learning, andapplication. We measure awareness and application ofthese concepts among our workforce.

Learning opportunities
At Microsoft, each of us has the power to transform
our culture by learning and then applying that learning
to improve the lived experience of our coworkers.
We created our year-old Learning Pathways to help
employees grow their awareness of the experiencesof different communities and identities, so they can
become more intentional about how they drive change.
The curated D&I content is personalized for each user,
depending on their interests and level of knowledge.
Learners can choose different paths that cover D&I
basics, core D&I concepts, or identity-based topics
including race and gender. These offer foundational
knowledge, awareness, practical skills, and the opportunity to engage in discussion via Microsoft forums. So far,
12,000 learners have taken part in Learning Pathways.
We also use our platform to engage with experts fromaround the globe who research and innovate in the D&I
space and provide perspectives that inform and spur
action. These critical conversations explore such topics
as intersectionality, mental health, faith, gender identity,
non-traditional families, and more.
34

Introduction

The state of diversity & inclusion
Broader

Employee Resource Groups
Since 1989, Employee Resource
Groups (ERGs) at Microsoft haveprovided critical support for
employee communities to feel moreconnected, supported, and included.

ConclusionCore

Our core Microsoft business
Each ERG has a set of rotating executive sponsors, andthese sponsors constitute the CEO Inclusion Council,
which creates a unique open channel of communication
between employee communities and the company’s
executive leadership through regular touchpoints
with the CPO and CEO. This direct executive access tocritical community insights and experiences provides animportant feedback loop that helps keep our company
community centered.

ERGs are employee-led andcentrally funded with support
and governance from the Global
Diversity & Inclusion team, and they
are integral to the way we activate
D&I at Microsoft.

Importantly, ERGs also play a key role in informing how
we develop and advocate for policies and processes that
support employees of all communities and identities.

The nine ERGs at Microsoft are:A few examples of how ERGs help:• Asians at Microsoft•

GLEAM perspectives were instrumental as we
became one of the first companies to provide
gender-affirming health benefits and extend benefits
to same-sex couples. They also helped shape theLGBTQIA+ informational video series we created toeducate employees about foundational concepts
related to gender identity, gender expression, andsexual orientation.

•

The BAM community provides ongoing feedback
on Microsoft’s Racial Equity Initiative and how theteams leading that work connect with the community
to provide updates on progress and identify areasof opportunity.

•

The Families community’s strategic input was
instrumental in our development of COVID-19 leave
for caregivers.

ERGs:• BAM (Blacks at Microsoft)• Provide career development andnetworking opportunities• Disability at Microsoft• Create spaces for connection,
support, and celebration• GLEAM (Global LGBTQIA+
Employees and Allies at Microsoft)• Drive activities that promote
community engagement andcultural awareness• Families at Microsoft• HOLA (Hispanic and Latinx
Organization of Leaders in Action)• Indigenous at Microsoft• Military at Microsoft• Women at Microsoft

35

Introduction

Recognition

The state of diversity & inclusion
Broader

We don’t invest in our D&I workwith a goal of winning awards
or gaining accolades. But we doappreciate that many different
stakeholders, including partners
and potential collaborators andemployees, view these third-party
assessments as objective indicationsof how well we’re demonstrating
the strength of our commitment.

Potential employees often learn about ourculture and diversity and inclusion efforts
from these reviews, which can factor inwhere they decide to work. Frequently,
outside appraisals do let us know where
we have room to improve and inspire us
to keep learning and growing.
Here are some of the ways we’ve beenrecognized for our efforts over the
past year.

ConclusionCore

Our core Microsoft businessComparably’s Best Global Company Culture 2022

Forbes America’s Best Large Employers

Insider’s 100 People Transforming BusinessAwarded March 2022

Awarded February 2022

Awarded November 2021

Comparably’s Best CEOs for Diversity 2022

Forbes America’s Best Employers for WomenAwarded July 2022

Awarded July 2022

Randstand Most Attractive Employers
in the Czech Republic 2022

Disability:IN Best Places to Work 2022

Forbes America’s Best Employers by State

Randstand Most Attractive Employers in India 2022

Awarded August 2022

#1 in New Jersey and Washington, D.C.

Awarded July 2022

ESGR Extraordinary Employer Support Award
Awarded November 2021

Fast Company’s Best Workplaces for Innovators
Awarded August 2022

Fast Company’s 2022 Diverse Innovators List
Awarded August 2022

Forbes Canada’s Best Employers
Awarded January 2022

Awarded June 2022

Top 10 in Georgia, Indiana, Kentucky,
Massachusetts, Missouri, Nevada, New York,North Carolina, Pennsylvania, Tennessee,
Virginia, Washington, and Wisconsin
Awarded August 2022

Glassdoor’s Best Places to Work 2022
Awarded January 2022

Global Semiconductor Alliance Designing theDifference Award
Awarded September 2022

Forbes America’s Best Employers for New Grads

Human Rights Campaign Corporate
Equality Index 2022

Awarded May 2022

Awarded January 2022
36

Introduction

The state of diversity & inclusion

3
Conclusion

Conclusion

Introduction

The state of diversity & inclusion

Conclusion

Conclusion

Relentless in
our focus“While always
committed, we’re now
unapologetic in thestandards we’ve set
and the behaviors
we expect.”
Lindsay-Rae McIntyre,
Chief Diversity Officer, Microsoft

Four years ago, we made the decision to be even moredeclarative internally and externally about our dedication
to diversity and inclusion at Microsoft.
In alignment with our growth mindset culture, we
embedded D&I as a performance expectation for all
employees, to bring to the forefront our vision of a truly
inclusive culture for all.
Of the new employees who join Microsoft—like the
net-new 40,000 who joined just this past year—mostreport that they’re choosing Microsoft because of ourculture. Our employee initiatives, our data transparency,
our accountability measures, and our progress all speak
to the same thing. As a result, new employees know what
they’re signing up for. They come with clarity about thetype of company we aspire to be and the things theyneed to do to strengthen and sustain the culture we’recreating together.
This isn’t about a pledge or a performance. It’s about
being deeply connected to the powerful impact on our
lived experience when the people we spend our workdays
with value inclusion and embrace difference with the same
willingness we do.
Despite current conditions, geopolitical instability, andeconomic headwinds, we remain optimistic about the
future and relentless in our focus on systemic progress.
The possibilities for employees to thrive, for teams tocollaborate, for organizations to excel, and for customers,
partners, and developers to innovate are unlocked when
we all have the same shared commitment.
Together we continue to support Microsoft’s inherently
inclusive mission and cultivate the inclusive culturenecessary to make it real.

38

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