Microsoft offers parachutes to 60k employees if they jump by the end of the year
Voluntary exit offer extended to about one-quarter of existing Softies
Microsoft has introduced a voluntary exit program, providing financial assistance and career resources to about 60,000 employees in the UK, US, Canada, and India. The offer, announced by HR chief Amy Coleman, is not classified as a buyout and is similar to a standard severance deal. Eligible employees, up to employment level 70 (equivalent to those at or below the VP level), can leave Microsoft with support for career planning, extended healthcare, and stock shares.
The company declined to disclose which roles or teams are eligible, stating that participation varies based on each business's priorities, customer commitments, and workforce needs. Microsoft, which employed around 223,000 people as of June 2026, eliminated approximately 4,800 roles since then, meaning the VEO is being offered to around a quarter of its remaining employees.
While Microsoft does not have a specific target number for the VEO, if the take-up rate mirrors Google's similar offer from 2025 (between three and five percent of eligible employees), between 1,800 and 3,000 employees could accept the deal before the December 31 deadline. The company maintains that the reduction in staff is not due to increasing automation but rather reflects the success of a previous early retirement offer from April.
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