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Microsoft Offers Voluntary Buyouts to 60,000 Employees Amid AI Expansion

3:30 PM ETConfirmed

Business Desk

In Short: Microsoft is offering voluntary buyouts to about 60,000 employees, or roughly one-quarter of its global workforce, as the company invests heavily in artificial intelligence.

Microsoft Chief People Officer Amy Coleman announced in a blog post that the company is offering voluntary buyouts to approximately 60,000 employees, representing about 27% of its global workforce, in Canada, India, the United Kingdom, and the United States.

The voluntary buyout program is part of Microsoft's strategy to realign its workforce as the company ramps up its artificial intelligence capabilities. In May, Microsoft had planned to offer buyouts to about 8,750 people, or 7% of its U.S. workforce, but the scope has since expanded.

In July, the company announced it was cutting 4,800 jobs, about 2.1% of its global workforce, with a significant number of those cuts affecting the Xbox video game business.

Microsoft expects to spend $175 billion on AI infrastructure in 2026 alone, according to CFO Amy Hood's July earnings call with Wall Street analysts.

The company has been investing in AI for several years, including the introduction of Copilot, an AI assistant integrated into the Windows operating system, and Mico, a new AI character.

Microsoft CEO Satya Nadella emphasized that the company will learn from these changes and help employees focus on work that matters most, build new skills, and find new opportunities within the company.

The voluntary exit offer is a time-limited program that provides financial support and career planning resources to eligible employees, according to Amy Coleman's memo to employees.

Microsoft's cloud + AI, MicrosoftAI teams, and corporate, external, and legal affairs are partially participating in the voluntary exit offers, while marketing, commercial business, discovery and quantum, and security teams are not.

Microsoft's stock price has seen an increase, hitting an all-time high this month and jumping 1.08% at Nasdaq to USD 530 on Monday.

The company had approximately 223,000 full-time employees at the end of June, down from 228,000 at the end of 2025, according to regulatory filings.

Microsoft's voluntary buyout program is designed to help the company manage its workforce as it continues to invest heavily in AI infrastructure and technology.

What this adds

What's confirmed

• Chief People Officer Amy Coleman said in a blog post Monday that the company’s voluntary exit offer was available to eligible employees in Canada, India, the United Kingdom and the United States.
• Microsoft has offered 60,000 employees, or about 27% of its global workforce, voluntary buyouts as the software giant spends heavily on artificial intelligence.
• In May, Microsoft planned to offer buyouts to about 8,750 people, or 7% of its U.S. workforce, according to two people familiar with the plan who were not authorized to speak about it publicly.
• In July, the company said it was cutting 4,800 jobs, about 2.1% of its global workforce, including a large number of workers at its Xbox video game business.
• Microsoft has been ramping up its AI capabilities for several years.
• Microsoft CEO Satya Nadella listens as President Donald Trump speaks during an event at the U.S.
• Shares of Microsoft Corp., based in Redmond, Washington, hit an all-time high this month.
• The company, which releases its quarterly financial performance Wednesday, had approximately 223,000 full-time employees at the end of June.
• In 2024 the company revealed a new class of AI-imbued personal computers that centered on fusing its AI assistant, called Copilot, into the Windows operating system for PCs, where Microsoft already has the eyes of millions of consumers.
• And 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.

What's still developing

• The company is due to publish its quarterly financial results on Wednesday.
• The gusher of investment in data centers — likely topping $700 billion this year — to power artificial intelligence has made memory chips, computer processors and other equipment, as well as electricity, more expensive.
• The company said it was a time-limited, voluntary program and built on insights gained from a previous voluntary retirement program.
• "The Voluntary Exit Offer 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," Amy Coleman, an executive vice president and chief people officer, told employees in a memo.
• The offer is available to mid-level workers for what Microsoft said was a limited period of time.

Sources

• Black Hills Pioneer link
• Bozeman Daily Chronicle link
• CBS News link
• Chicago Tribune link
• Corsicana Daily Sun link
• Eagle-Tribune link
• Kokomo Tribune link
• Marietta Daily Journal link
• The Independent link
• The Indian Express link
• The Killeen Daily Herald link
• The Verge link
• couriernews.com link
• inkl link
• kvrr.com link
• morning-times.com link
• Bloomberg Tech — video link