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Microsoft Offers Buyouts to 60,000 Staff

About a quarter of Microsoft's 223,000 employees can now take a voluntary exit package, as it plans about $190 billion of mostly AI spending this year.

The Microsoft logo and wordmark on the glass front of an office building against a clear blue sky
Photo: Sam Torres, via Unsplash

[ The short version ]

  1. 01Microsoft has offered voluntary buyouts to about 60,000 employees, the company confirmed to TechCrunch on Monday, 26 October.
  2. 02The offer covers staff at vice president level and below on selected teams in the US, Canada, India and the UK, with terms similar to its standard severance. Some data centre, sales and marketing staff are excluded.
  3. 03Microsoft had 223,000 employees at the end of June and plans about $190 billion in capital spending this year, largely on AI, according to Yahoo Finance.

Microsoft is asking a large part of its workforce whether they want to leave. The company confirmed to TechCrunch on Monday that about 60,000 employees are eligible for a voluntary buyout. It had 223,000 staff at the end of June, so the offer reaches roughly one in four.

60,000
Microsoft employees offered a voluntary exit packageConfirmed by Microsoft to TechCrunch, 26 October 2026

Who can take it

  • Employees at vice president level and below on selected teams in the US, Canada, India and the UK.
  • Bloomberg reports that Xbox, Windows, Copilot and Finance are among the teams taking part.
  • Some staff, including those working on data centres and in sales and marketing, are excluded.
  • The terms are similar to Microsoft's standard severance, according to TechCrunch. Eligible staff were sent their offer details by email on Monday.

"The Voluntary Exit Offer is new for us," chief people officer Amy Coleman wrote in a memo to staff. "We'll learn from it." She said it gives eligible employees "a new choice to make that transition now with support".

Why now

Microsoft plans about $190 billion in capital expenditure in 2026, mostly for AI, according to Yahoo Finance, and reports quarterly results on Wednesday. This is its second buyout this year: in April it offered early retirement to roughly 8,750 eligible workers, and more than 30% accepted, TechCrunch reports. Microsoft has not said how many people it expects to take this offer or how much it hopes to save.

  • #Microsoft
  • #AIandjobs
  • #layoffs
  • #bigtech

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