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Microsoft Offers Buyouts to 60,000 Employees Amid AI Expansion
· Confirmed
In Short: Microsoft is offering voluntary buyouts to around 60,000 employees, or about 27% of its global workforce, as the company invests heavily in artificial intelligence.
Microsoft is offering voluntary buyouts to around 60,000 employees, or about 27% of its global workforce, as the company invests heavily in artificial intelligence, Business Insider reported on Monday, citing a company spokesperson.
The voluntary exit offer will be available to eligible employees in participating teams in Canada, India, the United Kingdom, and the United States at level 70 and below, Microsoft said in a blog post on Monday.
The program builds on insights gained from a previous voluntary retirement program and is a time-limited, voluntary program.
Microsoft Chief People Officer Amy Coleman said the program provides workers with additional options for their careers while giving the company greater flexibility to adjust staffing to changing business needs.
Employees who accept the offer will receive financial assistance and career-transition support, with benefits similar to a standard severance package.
The voluntary exit program was first reported by Business Insider and follows Microsoft's rollout of a voluntary retirement program earlier this year.
Microsoft has been ramping up its AI capabilities for several years, including the introduction of a new class of AI-imbued personal computers that center on fusing its AI assistant, called Copilot, into the Windows operating system for PCs.
In October 2025, Microsoft introduced a new artificial intelligence character called Mico, a floating cartoon face shaped like a blob or flame that embodies the software giant’s Copilot virtual assistant.
Microsoft's announcement indicated that eligible employees would be notified via email about the details of their voluntary exit offer within a few hours of the announcement.
The participation of different organizations within the company is based on each business unit's priorities, customer commitments, and workforce needs.
Microsoft's executive vice president and chief people officer, Amy Coleman, introduced the scheme in a message to employees.
Coleman said then that more than 4,000 employees had been redeployed over the preceding year.
What's confirmed
- "This offer will be available to eligible employees in participating teams in Canada, India, the United Kingdom and the United States at level 70 and below," Microsoft said in a blog post on Monday.
- Microsoft Corp. is offering voluntary buyouts to approximately 60,000 employees as the technology giant looks to manage expenses while expanding its investments in artificial intelligence.
- Announced Monday, Oct. 26, the voluntary separation package is accessible to nearly 27% of the organization’s global personnel, marking one of the most widespread workforce reduction measures in the firm’s history.
- By presenting voluntary departure options, Microsoft seeks to lower headcount cost pressures without resorting to immediate forced terminations.
- Microsoft Chief People Officer Amy Coleman said the program provides workers with additional options for their careers while giving the company greater flexibility to adjust staffing to changing business needs.
- Employees who accept will receive financial assistance and career-transition support, with benefits similar to a standard severance package.
- Certain employees in data centers, sales, marketing and other excluded business units are not eligible.
- Microsoft employees extended the offer will have a designated timeframe to review the severance criteria before deciding whether to accept.
What's still developing
- The voluntary exit offer will impact key divisions, including AI experiences, Copilot, finance, human resources, Xbox and Windows + Devices, a source familiar with the matter told Reuters.
- The company did not immediately comment on the number of employees impacted when contacted by Reuters.
- "reflects an important part of how we're evolving our approach to change: creating greater flexibility and, where possible, more ways for employees to shape their next chapter."
- "There is no one-size-fits-all approach for every team or every employee," Coleman said.
- "At the same time, we'll keep helping people focus on the work that matters most, build new skills and, where it makes sense, find new opportunities across Microsoft."
- According to CNBC’s source, employees have until early December to decide whether to accept, with those taking the offer due to leave on 31 December. [Source: CNBC, CRN, Microsoft’s October Announcement ] 2oceansvibe is the biggest solely-owned online news platform in South Africa, publishing up to 30 stories a day since 2001.
- On 6 July, Microsoft announced it was eliminating about 4 800 roles, concentrated in its commercial and Xbox operations, while also describing efforts to move employees into other jobs.
- The new offer extends the use of voluntary departures as Microsoft changes where it puts its people and investment.
- About 60 000 employees qualify, a figure Microsoft confirmed to CRN.
- October 28, 2026 -- Today’s top stories: Meta Plans $95 Billion Stock Offering to Fund AI Expansion, China's Industrial Profits Surge 14.4% in September, Driven by AI Boom, and Microsoft Offers Voluntary Buyouts to 60,000 Employees Amid Rising AI Spending.
- Microsoft is offering voluntary buyout packages to around 60,000 employees, with severance pay, continued stock vesting and health insurance forming part of the exit terms.
- Introduces Voluntary Buyouts Amid AI Expansion In a significant maneuver, Microsoft Corp.