Microsoft is offering voluntary buyouts to about 60,000 employees, roughly a quarter of its global workforce, as the software giant looks to contain costs and reshape its workforce while spending heavily on AI.
The program is open to eligible employees in participating teams in the U.S., Canada, the U.K. and India at level 70 and below, Microsoft Chief People Officer Amy Coleman wrote in a blog post. Microsoft employed about 223,000 people at the end of June.
“This offer gives eligible employees who may be considering a future outside the company a new choice to make that transition now with support,” Coleman said. “It also gives participating organizations another way to adapt their workforce to changing needs.”
“The Voluntary Exit Offer is new for us,” Coleman added. “We’ll learn from it.”
Microsoft did not disclose how many employees are eligible, but Reuters and Bloomberg reported that the program could cover roughly 60,000 workers.
The move comes as Microsoft commits enormous sums to AI infrastructure. Reuters reported that the company has forecast about $175 billion in capital expenditures for 2026, much of it tied to data centers and computing capacity needed to develop and run AI systems. The spending has increased pressure on Microsoft to show that its AI investments are producing sufficient returns.
Bloomberg reported that units including Xbox, Windows, Copilot and finance are participating in the buyout program. Some employees working in data centers, sales, marketing, cybersecurity and quantum computing are excluded, according to people familiar with the terms.
Microsoft has already reduced headcount as it restructures around AI. Reuters reported that the company cut about 4,800 jobs in July and eliminated more than 15,000 positions in 2025.