Microsoft Offers Buyouts to 60,000 Employees as AI Reshapes Workforce

Microsoft is offering voluntary buyouts to around 60,000 employees as the tech giant looks to reduce costs and adapt its workforce to the growing role of artificial intelligence (AI), according to reports from Business Insider and Bloomberg.

The move marks another step in Microsoft’s efforts to reshape its workforce as the company continues to adjust its business priorities in an increasingly AI-driven technology industry.

The offer is available to eligible employees at the vice president level and below across selected teams in the United States, Canada, India, and the United Kingdom, the reports said. However, not everyone will qualify. Some employees, including those working in data centers, sales, and marketing, are excluded from the program.

Microsoft Gives Employees a Voluntary Exit Option

Microsoft Chief People Officer Amy Coleman informed employees about the initiative in a note sent on Monday. The company described the program as a way to give eligible workers more flexibility in deciding their future, including the option to leave the organization with financial support.

“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,” Coleman wrote in the note.

She added that the offer provides another option for employees who may already be thinking about pursuing opportunities outside Microsoft.

“This offer gives eligible employees who may be considering a future outside the company a new choice to make that transition now with support,” the note said.

Employees who accept the offer will receive benefits similar to those included in a standard severance package, according to the reports. The program gives eligible workers an opportunity to leave voluntarily rather than wait for other potential changes to their employment.

Another Workforce Restructuring Move

The latest initiative follows an earlier buyout program Microsoft introduced this year for employees approaching retirement age. More than 30% of the approximately 8,750 eligible employees accepted that offer, according to the reports.

The new program covers a much broader group of employees, with around 60,000 workers potentially eligible across selected teams and countries. However, the actual number of employees who will accept the offer remains unclear.

Microsoft’s latest move comes as major technology companies continue to reassess staffing, spending, and business priorities amid rapid developments in AI. Companies are investing heavily in AI infrastructure, products, and services while also evaluating how their workforces should evolve to support these changes.

Although the buyout program provides eligible employees with a voluntary departure option, the company has not publicly detailed how many workers it expects to leave through the initiative.

Microsoft Has Yet to Comment

Microsoft did not immediately respond to TechCrunch’s request for comment, according to the report.

For now, the buyout offer represents another significant workforce decision for the company as it balances cost management with its broader business transformation. The number of employees who ultimately accept the offer will help determine the program’s impact on Microsoft’s workforce.

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