Microsoft to Offer Voluntary Buyout Packages to 60,000 Employees

October 26: According to Business Insider, Microsoft Chief People Officer Amy Coleman said in a memo to employees on Monday that the company is offering voluntary severance packages. Coleman wrote: "The voluntary separation program reflects an important step in how we are adjusting our approach to change: increasing flexibility and, where conditions allow, giving employees more choice to plan the next stage of their careers."

The voluntary severance program is Microsoft's latest attempt to slim its workforce while avoiding another round of forced layoffs. This year, Microsoft reduced headcount even as it invested heavily in AI infrastructure. Now the company is offering employees the option to leave to see whether voluntary departures can further reduce costs.

A Microsoft spokesperson said about 60,000 employees are eligible for the program, and the terms will be similar to Microsoft's standard severance package.