[drfrank]

It seems this is a one-time opportunity for some engineers to catch up with inflation. It doesn't seem that Microsoft is adjusting it's salary ranges.

Put another way, starting to work at Microsoft, this year, will still be 11% less attractive than it was two years ago.

Microsoft seems to recognize (but not acknowledge) that it's not competitive in compensation, and seems to be reiterating its commitment to its current strategy.