Microsoft Offers Voluntary Exit Packages to About 60,000 Staff

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Microsoft is offering buyouts to around 60,000 employees, the company confirmed on Monday. The move is its latest effort to cut costs and rework its workforce for the AI age.

Chief people officer Amy Coleman sent staff a note, which Microsoft also published on its website. It calls the program a Voluntary Exit Offer.

Who is eligible

Employees at the vice president level and below on select teams in the United States, Canada, India and the United Kingdom qualify. Divisions including Xbox, Windows, Copilot and Finance are reported to be taking part. Some employees, including those in data centers and in sales and marketing, are excluded.

Eligible staff were due to receive an email on Monday with a link to their offer details. The terms will be similar to Microsoft's standard severance.

"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," the note says.

It adds that the offer gives eligible employees who may be considering a future outside the company a new choice, with support to make the transition now.

A second buyout this year

The offer lets Microsoft shrink its headcount without the more disruptive route of mass layoffs. It is not the company's first buyout. Earlier this year, Microsoft made an offer to retirement-age employees. More than 30% of the roughly 8,750 eligible workers accepted.

The note describes the new program as unfamiliar ground. "The Voluntary Exit Offer is new for us," it reads. "We'll learn from it. 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."

"There is no one-size-fits-all approach for every team or every employee," the note continues. It says the company is trying to meet different business needs while still creating opportunities for its own people to grow and contribute.

Source: Microsoft