Microsoft offers voluntary buyouts to 60,000 employees
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Multinational technology company Microsoft has offered voluntary buyouts to around 60,000 employees to help cover the costs of its massive investments in artificial intelligence (AI). More than one quarter of its global workforce could be eligible for the offer.
Microsoft announced the offer on Monday.
An official familiar with the matter told Reuters that employees across several divisions are eligible for the offer. These include AI Experiences, Copilot, Finance, Human Resources, Xbox, and Windows and Devices.
However, employees in marketing, commercial operations and security will be excluded from the program, the official said.
In a message to employees, Microsoft’s Chief Human Resources Officer Amy Coleman said the initiative would support those who want to leave the company and pursue opportunities elsewhere. It would also help the company adjust its workforce to meet its organizational needs.
Microsoft said employees at Grade 70 or below in certain divisions in Canada, India, the United Kingdom and the United States would be eligible for the voluntary buyout offer.
Like other major technology companies, Microsoft is investing hundreds of billions of dollars in AI infrastructure, data centers and chips. However, investors have questioned whether these massive expenditures will generate sufficient returns.
Microsoft has projected capital expenditure of $175 billion for 2026. The company is scheduled to release its first quarter financial results after the market closes on Wednesday.
According to the company’s annual report, Microsoft had 223,000 full time employees worldwide as of June 30, 2026. Based on that figure, offering voluntary buyouts to 60,000 employees would affect more than one quarter of its total workforce.
Earlier this year, Microsoft also offered voluntary buyouts to around 7 percent of its US workforce, or approximately 9,000 employees.
In addition, the company announced in July that it would lay off 4,800 employees, representing around 2.1 percent of its global workforce. At the time, it also announced plans to restructure its Xbox gaming business and sell five more game studios.
Source: Reuters
