Microsoft Offers Buyouts to 60,000 Employees as It Spends on A.I.
- Microsoft
- Canada
- United Kingdom
- India
- United States
- CNBC
- Human resources
- Redmond, Washington
What happened
On Monday, Microsoft offered voluntary buyouts to about 60,000 employees, roughly a quarter of its 223,000-person workforce, in the U.S., Canada, India and Britain. The company is working to contain costs while it spends heavily on A.I. data centers and chips. Anyone who accepts would leave Dec. 31, and Microsoft expects only a small share to sign on.
Summary
About 60,000 Microsoft workers, roughly 27 percent of the company's global staff, now have a choice to make. On Monday the company offered voluntary buyouts on participating teams in the United States, Canada, India and Britain, open to employees at internal level 70 and below, which reaches up to the vice president level. Eligible groups include Xbox, Windows, Copilot, finance and human resources. Sales, marketing, data center staff and some engineering teams are left out. People have until early December to decide, and those who accept would leave Dec. 31 with Microsoft's standard severance: at least eight weeks of base pay, rising with tenure. [1] [2] [3] [4] [7] [8] [9] [11] [12]
In a memo to staff, chief people officer Amy Coleman said the offer lets employees who are already thinking about leaving make that move now with financial support and career planning help, while giving teams another way to adjust to changing needs. "The Voluntary Exit Offer is new for us," she wrote. Microsoft said it expects few people to take it. The company told The New York Times that 3 to 5 percent of tech workers typically accept such offers, and that these terms are less generous than an earlier retirement buyout. A spokesperson told Business Insider there are no plans for another buyout at this time. [1] [2] [7] [8] [9] [10] [11]
The offer is part of Microsoft's push to cut costs as it pours money into A.I. infrastructure. The Times reports the company told investors to expect about $190 billion in capital spending in 2026, while Reuters reports a forecast of $175 billion. Microsoft's headcount slipped from 228,000 to 223,000 by June 30, and in July it cut 4,800 jobs, many in its Xbox division. This spring's first-ever voluntary retirement program, offered to roughly 8,600 to 9,000 long-tenured U.S. employees, drew about 30 percent of them. Microsoft reports quarterly results on Wednesday. [1] [2] [4] [7] [9] [11]
Summary written by Vox Populi News from the 12 sources below. See all sources
Key questions
Which Microsoft employees are eligible for the buyout?
Employees at level 70 and below, up to the vice president level, on participating teams in the U.S., Canada, India and Britain, including Xbox, Windows, Copilot and finance. Sales, marketing, data center staff and some engineering teams are excluded. [1] [2] [3] [7] [8] [12]
Sources 12
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1The New York TimesRead on The New York Times (opens in a new tab)
Microsoft Offers Buyouts to 60,000 Employees as It Spends on A.I.
About a quarter of the tech giant's employees were eligible for the packages, although the company cautioned it did not expect many employees to sign on.
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2AolRead on Aol (opens in a new tab)
Microsoft offers buyouts to around 60,000 employees to contain costs
By Jaspreet Singh Oct 26 (Reuters) - Microsoft said on Monday it is offering voluntary buyouts to about 60,000 employees, or more than a quarter of its global workforce, as the technology giant looks…
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3New York PostRead on New York Post (opens in a new tab)
Microsoft announces buyouts for 60K employees -- quarter of workforce -- as part of AI transformation
Microsoft is offering voluntary buyouts to 60,000 employees -- over a quarter of its workforce -- as the software giant works to cut costs and revamp its staff for the AI era.
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4IGNRead on IGN (opens in a new tab)
Microsoft Offer Buyouts to 60,000 Workers as It Doubles Down on AI Investment
Microsoft plans to offer buyouts to about 60,000 workers as part of the company's efforts to trim costs and retool its workforce as it invests heavily in AI.
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5CNBCRead on CNBC (opens in a new tab)
Microsoft offers voluntary buyouts to 60,000 employees
Follow your favorite stocksCREATE FREE ACCOUNT Pedestrians walk past a Microsoft office in New York, US, on Tuesday, July 22, 2025.
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6The Wall Street JournalRead on The Wall Street Journal (opens in a new tab)
Microsoft Will Offer Buyouts to 60,000 Employees
Microsoft is extending voluntary buyout offers to thousands of employees across the U.S., the U.K., Canada and India.View more Microsoft MSFT 1.10%increase; green up pointing triangle is extending…
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7Business InsiderRead on Business Insider (opens in a new tab)
Microsoft is offering buyouts to around 60,000 employees. Read the memo.
Microsoft is offering buyouts, according to a memo Chief People Officer Amy Coleman sent to employees Monday.
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8CBS NewsRead on CBS News (opens in a new tab)
Microsoft offers buyouts to 60,000 workers as it pours money into AI
Microsoft is offering voluntary buyouts to about 60,000 employees, or roughly one-quarter of its global workforce, as the technology giant invests more in artificial intelligence, according to Agence…
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9Yahoo! FinanceRead on Yahoo! Finance (opens in a new tab)
Microsoft puts up to 60,000 jobs at risk
Microsoft has put up to 60,000 jobs at risk, including roles in the UK, as the tech giant seeks to trim costs.
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10Bloomberg BusinessRead on Bloomberg Business (opens in a new tab)
Microsoft to Offer Buyouts to 60,000 Workers in Latest Cost Cut
Microsoft expects far fewer personnel to accept the latest buyout proposal compared with the voluntary retirement program, and the company wants employees who are engaged on the hard problems it's…
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11U.S. News & World ReportRead on U.S. News & World Report (opens in a new tab)
Microsoft Offers a Quarter of Its Global Workforce Voluntary Buyouts as AI Spending Accelerates
Microsoft has offered 60,000 employees, or about 27% of its global workforce, voluntary buyouts as the software giant spends heavily on artificial intelligence.
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12CNETRead on CNET (opens in a new tab)
Microsoft's Massive Employee Buyout Shows How AI Is Reshaping the Economy
The company is offering a voluntary exit to 60,000 eligible employees while betting billions on the AI infrastructure buildout.
