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When the Internal Revenue Service audited these transactions, ProPublica reported that Microsoft aggressively fought again, together with efficiently lobbying Congress to change the legislation to make it harder for the agency to conduct audits of huge corporations. Dame Margaret Hodge, a Labour MP within the UK mentioned, «It is unsurprising – but nonetheless surprising – that massively rich world corporations openly, unashamedly and blatantly refuse to pay tax on the profits they make within the nations the place they undertake enterprise». As reported by a number of information outlets, an Irish subsidiary of Microsoft primarily based within the Republic of Eire declared £220 bn in profits however paid no company tax for the 12 months 2020. The firm is also known as a «Velvet Sweatshop», a term which originated in a 1989 Seattle Occasions article, and later grew to become used to describe the corporate by a few of Microsoft’s personal staff. Traditionally, Microsoft has also been accused of overworking staff, in plenty of circumstances, resulting in burnout within just some years of joining the corporate. The company has also been criticized for using permatemp employees (employees employed for years as «short-term», and subsequently without medical benefits), the use of pressured retention tactics, which signifies that employees would be sued if they tried to go away.
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