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Microsoft: 'Only about 3,000 employees may voluntarily leave'
Policy1 min read
Microsoft has offered 60,000 employees the chance to take a voluntary exit with a payout. The company expects only about 5% or fewer, around 3,000 people, to accept.
What happened
Microsoft offered a voluntary buyout to many staff. The offer comes with severance pay, which is money paid when someone leaves a job. A company spokesperson told Business Insider on October 28 that only "5% or fewer" might accept. Finance chief Amy Hood also wrote to staff that very few people are expected to take it, because of the chances to grow at Microsoft.
Key numbers
- 60,000 employees were offered the voluntary exit.
- About 5% or fewer are expected to accept, which is roughly 3,000 people.
- Microsoft had 223,000 employees at the end of June.
- In July, more than 30% of the 8,750 eligible staff accepted a separate buyout offer for people near retirement.
- Revenue in the first quarter of fiscal 2027 was $92.3 billion, up 19% from a year earlier.
Why the offer was made
Microsoft is spending hundreds of billions of dollars on artificial intelligence (AI). The company wants to cut costs to pay for these big investments. Eligible staff are mainly in the United States, Canada, India and the United Kingdom. Some jobs in data centers, sales and marketing are not included.
Why it matters
The offer is large, about one in four of Microsoft's global workers. It comes even though the company's latest money report looked strong. Former HR leader Chris Williams said the payout may not be the best offer a person could get. Experts also say that job hunting is hard right now, so people who accept should plan for at least six months to a year without work.
What to watch
- How many people actually accept the voluntary exit, compared with the 5% goal.
- Whether Microsoft makes more job cuts after this offer.
- How Microsoft's AI spending affects its costs and future results.
Glossary
- Microsoft
- A large American technology company that makes software such as Windows and Office, and cloud services.
- Business Insider
- A news website that reports on business and technology.