Microsoft Offers Voluntary Buyouts To Around 60,000 Employees

The offer covers select employees in four countries as Microsoft seeks to cut costs and reshape its workforce for the AI era.

Microsoft is offering voluntary buyouts to around 60,000 employees, the company confirmed to TechCrunch. The offer reaches more than a quarter of its 223,000-person workforce, though it remains unclear how many employees will accept. TechCrunch and Engadget describe the move as part of Microsoft’s effort to reduce costs and reshape its workforce for the AI era.

Table of Contents
  1. Who is eligible
  2. Why Microsoft is making the offer
  3. What remains uncertain for employees
  4. Sources

Who is eligible

According to TechCrunch, the offer is available to employees at the vice president level and below on select teams in the United States, Canada, India and the United Kingdom. TechCrunch, citing Bloomberg, says participating divisions include Xbox, Windows, Copilot and Finance. Employees in data centers, sales and marketing are among those excluded.

Microsoft chief people officer Amy Coleman outlined the program in a note to employees that was also published on the company’s website, TechCrunch reports. The company said eligible employees would receive an email with their individual offer details. TechCrunch says the buyout terms will be similar to Microsoft’s standard severance package.

Why Microsoft is making the offer

In her note, Coleman framed the Voluntary Exit Offer as a way to give eligible employees who are considering leaving a supported path to do so. She also said Microsoft would continue helping employees develop skills and, where appropriate, find other opportunities within the company, according to TechCrunch.

TechCrunch says the program could allow Microsoft to reduce headcount without a mass layoff. Engadget places the offer alongside the company’s spending on AI infrastructure, reporting that Microsoft has spent nearly $175 billion on data centers and AI infrastructure in 2026 and opened nearly 90 hyperscale data centers this year. Engadget also notes that Microsoft has made layoffs in Xbox and other departments. The offer does not, however, establish how many jobs will ultimately be eliminated.

What remains uncertain for employees

Microsoft offered a narrower buyout program earlier this year to roughly 8,750 retirement-age employees, according to TechCrunch. The outlets describe its uptake slightly differently: TechCrunch says more than 30% accepted, while Engadget says 30% did. Neither figure indicates how employees will respond to the much broader current offer.

For employees in the United States, eligibility depends on both their level and team; being part of the 60,000-person group does not mean they must leave. The reports do not give an acceptance deadline or say how many departures Microsoft expects. They also do not identify employees in Israel as eligible for this offer.

Sources

This story was compiled by AI from the reports below. Read the originals for the full details.