Microsoft offers buyouts to 60,000 workers as it invests more in AI

Microsoft is providing voluntary buyouts to approximately 60,000 employees, representing around one-quarter of its global workforce, as the company expands its investment in artificial intelligence. These voluntary exit offers are available to eligible employees in Canada, India, the United Kingdom, and the United States, according to a statement released by Microsoft on Monday.

The program is open to individuals at the vice president level or below. Amy Coleman, Microsoft's chief people officer, explained in an employee memo that this offer provides eligible personnel with a new option to transition out of the company with support.

Microsoft anticipates spending a staggering $175 billion on AI infrastructure, including investments in data centers, solely in 2026, as disclosed by Chief Financial Officer Amy Hood during a July earnings call with Wall Street analysts. This buyout initiative marks the second voluntary exit offer Microsoft has presented to its workforce this year.

In May, the tech giant planned to offer buyouts to about 8,750 employees, constituting 7% of its U.S. workforce, as reported by the Associated Press, citing two sources familiar with the plan. In July, Microsoft announced the termination of 4,800 jobs, equivalent to 2% of its global workforce, including many personnel from its Xbox video game division.

Microsoft currently employs 223,000 individuals globally, a decrease from 228,000 at the end of 2025, as indicated in regulatory filings. Around 27% of Microsoft's workforce qualifies for the new buyout offer, as per Agence France-Presse. The initiative is designed to allow eligible mid-level workers to leave the company with financial support and career-planning resources while enabling the company to reduce labor costs.

Eligible employees will receive information about the offer via email on Monday, as stated by Coleman. Certain business units, such as data centers, and roles in sales and marketing, are ineligible for the buyout, according to a company spokesperson.