The company seeks to avoid direct layoffs
Microsoft has launched a voluntary buyout program that could cover around 60,000 employees as the company seeks to reduce costs without resorting to direct layoffs. According to Bloomberg, the offer will be available to employees in selected teams across the United States, Canada, India and the United Kingdom, including some at the vice-president level.
Employees who accept the offer will receive payments comparable to the company’s standard severance package. Sources told Bloomberg that certain employees in Xbox, Windows, Copilot and the finance department will be eligible. Workers in data centers, cybersecurity, sales and marketing will be excluded.
In spring 2026, Microsoft offered voluntary departures to employees of retirement age. More than 30% of the approximately 8,750 eligible workers accepted the offer. The company expects significantly fewer employees to participate in the latest program.
According to Bloomberg, Microsoft had 223,000 employees at the end of June 2026.
