Microsoft offers voluntary separation package to 60 thousand employees with various conditions
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Aaj Tak
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Microsoft offers voluntary separation package to 60 thousand employees with various conditions

The well-known company Microsoft is in the spotlight due to an offer made to its 60,000 employees regarding the possibility of leaving the company. Notably, the company has offered these employees a voluntary buyout package. Under this offer, employees can independently choose a voluntary departure option. This offer applies to personnel in four countries, including India.

One of the benefits of this offer is financial support for employees who plan to start their own business or startup after leaving the company.

Regarding the benefits provided to employees who accept the exit offer, they include severance pay, continuous stock vesting, and medical insurance in case of termination. However, those who refuse this buyout package will face uncertainty, as the company reserves the right to reduce staff in the future.

According to the report, the terms of this offer will vary depending on the employee's seniority, location, and length of service. For example, some employees who have worked for six months may be eligible for several weeks of base salary payment, while others are offered a package equivalent to 12 months of salary. A Microsoft representative stated that about 60,000 employees meet the criteria to participate in the buyout program.

Microsoft employees have until early December to decide whether to accept or decline this offer. It is expected that those who choose this option will leave the company by the end of the year. According to the report, Microsoft stated that it currently has no plans for other buyout programs.

The amount of severance pay depends on the employee's internal level. The seniority system at Microsoft starts at Level 59 for entry-level positions and reaches Level 70, which corresponds to a Vice President position. According to Business Insider, an analysis of the offer shows that employees at Level 64 and below will receive one week of base pay for every six months of service. Employees at Levels 65–67 will receive two weeks of base pay for every six months of service. For employees at Level 67 and below, the standard severance pay is limited to 39 weeks of base pay. For Level 68, the standard severance offer will be 12 months of salary.

In addition, the buyout package includes regular stock vesting and medical insurance. For employees at Levels 67 and below, stock vesting is available for six or 12 months, depending on seniority. This is not the first time Microsoft has offered a buyout; previously, in April 2026, the company launched a similar program for approximately 8,750 employees in the US.

Microsoft also noted that its new voluntary departure program does not exclude the possibility of future layoffs, which will depend on business priorities and workforce needs. A serious concern for employees is that refusing the voluntary buyout could expose them to future layoffs (Microsoft Layoff). Nevertheless, at present, employees cannot assume that declining the offer will automatically lead to their dismissal.

Microsoft has extended this program to employees in selected teams in the US, Canada, India, and the UK, including some Level 70 employees. According to a Microsoft representative, the pool of potential participants is about 60,000 employees. This new buyout offer came at a time when major tech companies are downsizing their workforce.

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Microsoft offers voluntary layoff package to 60 thousand employees amid rising AI costs
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www.aajtak.in

Microsoft offers voluntary layoff package to 60 thousand employees amid rising AI costs

Microsoft, a major technology company, has offered a Voluntary Buyout Programme to its employees in four countries, including India. Under this initiative, eligible workers will have the option to leave the company with support from Microsoft.

According to news agency Reuters, this program could cover around 60 thousand employees, which is more than a quarter of the company's total global workforce. Microsoft has taken this step during a period of active investment growth in the field of artificial intelligence (AI).

The company aims to simultaneously control rising costs and adapt its staffing levels and organizational structure to changing market needs.

According to information from Microsoft, the voluntary buyout program will operate in India, the USA, the UK, and Canada. It will provide an opportunity for employees meeting certain criteria in teams at level 70 and below to leave the company. This program has a limited duration. The company announced that detailed information about this offer would be provided to the relevant employees within hours of the announcement.

A source familiar with the situation told Reuters that the program will extend to personnel in many divisions, such as AI Experience, Copilot, Finance, Human Resources, Xbox, and Windows + Devices. However, marketing, commercial business, and security teams are excluded from this program.

In a memo sent to employees, Microsoft's Head of Human Resources, Amy Coleman, explained the motives behind this program. She noted that the offer provides eligible employees with an alternative option for finding future opportunities outside the company, allowing them to make this transition with Microsoft's support. Furthermore, this scheme serves as an additional way for relevant departments to streamline their staff and workforce in line with their evolving requirements.

Microsoft emphasized that this is a temporary voluntary program developed based on experience gained from implementing a previously introduced voluntary retirement program.

This initiative comes against the backdrop of large global technology corporations investing huge sums in AI-related infrastructure, including data center and advanced chip costs. Microsoft forecasts capital expenditures of $175 billion for the calendar year 2026. Nevertheless, investors are questioning what return such massive investments will bring the company in the future.

The company plans to announce its first-quarter financial results after the stock market closes on Wednesday. Investors will closely monitor these results to understand the contribution of Microsoft's AI investments to business growth and profitability.

Microsoft has previously taken several measures to reduce its workforce. This year, the company announced another voluntary layoff program that affected about 9 thousand employees in the USA, accounting for approximately 7 percent of the American staff. Moreover, in July, Microsoft announced a plan to eliminate 4,800 jobs, which corresponded to approximately 2.1 percent of its global workforce. This decision was made as part of the restructuring of the Xbox gaming business and a plan to sell five studios. The goal of these changes was to achieve better returns on the significant investments made in the gaming business over many years.

According to Microsoft's annual report, as of June 30, 2026, the company had 223,000 employees worldwide.

Following the news of the voluntary buyout program, Microsoft's shares rose by about one percent on Monday. This year, the company's shares have already increased by about 10 percent. According to Reuters, the news of the new layoff offer was first published by Business Insider.

The company's decision indicates that, on one hand, Microsoft continues to invest heavily in AI technology and infrastructure, while on the other hand, it is taking steps to reorganize its personnel in line with changing business needs.

Microsoft proposes voluntary redundancy plan for 60,000 employees in four nations
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g1.globo.com

Microsoft proposes voluntary redundancy plan for 60,000 employees in four nations

Microsoft announced a new voluntary redundancy program targeting approximately 60,000 employees located in the United States, Canada, India, and the United Kingdom. The company disclosed this information to AFP on Monday, the 26th, six months after presenting a similar initial proposal.

This new package of offers applies only to certain units of the corporation and is described as another strategy by the group to adjust its workforce to current demand changes. Amy Coleman, Director of Human Resources, informed employees that this measure aims to 'adapt its staff to evolving needs.'

The proposal is available to employees up to the vice president level, with exceptions for certain professionals in the sales, marketing, and data center sectors. Those who choose to accept the offer and leave the company will have access to conditions equivalent to standard severance compensation.

Regarding the first plan, which was aimed at employees whose combined age and length of service reached at least 70 years, the company reported that about one-third of those eligible joined in July. At that time, it was clarified that such positions were not being replaced by Artificial Intelligence.

According to the company's annual report, there was a reduction of 5,000 employees in the last twelve months, ending on June 30, a rate not seen since 2016. Furthermore, Microsoft plans to increase its investments to over US$ 50 billion (equivalent to BRL 274.9 billion) during the next period, with results from the July to September quarter to be announced on Wednesday.

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