Last Friday Microsoft Corp suggested that it had no plans to make major lay-offs if it succeeded in buying Yahoo Inc, rather there would be plenty of employee opportunities throughout the company, reports Reuters. It sure tickles the mind about the coming Microsoft and Yahoo merger.

Kevin Johnson, president of Microsoft's platforms and services division, said in an e-mail to employees in his unit that the company would dedicate "significant rewards and compensation" to retain Yahoo and Microsoft employees.

"While some overlap is expected in any combination of this size, we should remember that Microsoft … has hired over 20,000 people since 2005, and we would look to place talented employees throughout the company as a whole. We have no shortage of business and technical opportunities, and we need great people to focus on them" Johnson wrote in the e-mail that was posted on Microsoft's Web site.

This e-mail from Johnson sought to ease the concerns expressed by Microsoft and Yahoo employees about a potential merger. Further, Yahoo promised that it will put in generous severance benefits for the employees who have been laid off, if the company was sold. However, critics and analysts have have have called such measures as "golden parachutes" to take care of employees.

Currently, the companies are at a stand-off in Microsoft's $41.2 billion unsolicited bid to get possession of Yahoo. Microsoft has offered to buy Yahoo for $31 a have part in coin and stock, which Yahoo's board rejected, saying it undervalued the company.

Click here to subscribe to our RSS feed to get a daily digest of news around search engine industry. PageTraffic SEO Blog is updated four times a day and is ranked as one of the best search engine resources blog by Pandia!