Microsoft wants thousands of employees to leave, and it’s willing to pay them to do it

Microsoft is offering a voluntary exit to thousands of its employees in a bid to streamline its workforce, according to a memo from the company's Chief People Officer Amy Coleman. The offer is available to eligible workers across various business units, including AI experiences, Copilot, human resources, finance, Windows and Devices, and Xbox.

Coleman framed the program as a way for employees "considering a future outside the company" to make that move while reducing Microsoft's headcount. The voluntary exit offer is being extended to around 60,000 workers, or over 25% of the company's total workforce, which stood at 223,000 full-time employees this summer. The offer varies based on each business's priorities, customer commitments, and workforce needs.

Microsoft is planning to invest $175 billion in capital expenditures in 2026, driven by its significant investments in AI. The company has already offered buyouts to around 9,000 U.S. employees in April, and cut around 4,800 workers over the summer, primarily in its commercial sales and Xbox divisions. Microsoft aims to help people focus on the work that matters most, build new skills, and find new opportunities within the company.