Microsoft is offering voluntary buyouts to about 60,000 employees, representing more than a quarter of its global workforce, as the technology giant seeks to contain costs and finance its massive investments in artificial intelligence.
The programme will be available to eligible employees in participating teams in Canada, India, the United Kingdom and the United States at level 70 and below, the company said on Monday.
Microsoft Chief People Officer Amy Coleman said the offer would give employees considering leaving the company an opportunity to make the transition with support, while allowing participating business units to adjust their workforce to changing needs.
The programme covers employees across several divisions, including AI experiences, Copilot, finance, human resources, Xbox and Windows + Devices. Marketing, commercial business and security teams are excluded, according to a source familiar with the matter.
Microsoft described the initiative as a time-limited, voluntary programme building on lessons from an earlier voluntary retirement scheme. Eligible employees were expected to receive details of the offer within hours of the announcement.
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The move comes as Microsoft and other technology companies commit hundreds of billions of dollars to AI infrastructure, including data centres and specialised chips, amid growing investor scrutiny over whether the investments will generate sufficient returns.
Microsoft has forecast $175 billion in capital expenditure for the 2026 calendar year. The company, which had 223,000 full-time employees globally as of June 30, is scheduled to report its first-quarter financial results after markets close on Wednesday.
The latest offer follows an earlier voluntary buyout programme introduced this year for about seven per cent of Microsoft’s US workforce, equivalent to approximately 9,000 employees.
In July, the company also announced plans to cut 4,800 jobs as part of a restructuring of its Xbox gaming business and plans to divest up to five studios, seeking to improve returns after years of heavy investment in the division.
The latest initiative adds to efforts by major technology companies to manage operating costs while expanding their AI capabilities.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
