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Microsoft offers 60,000 staff voluntary exits: who is eligible and what it means

Microsoft is offering voluntary buyouts to about 60,000 employees, roughly a quarter of its global workforce, including staff in the United Kingdom. The offer is time-limited and open to participating teams in four countries. It is the company's second voluntary offer this year.

Microsoft Layoff
Ai Generated : Nano Bnana

The short version

  • Microsoft said on Monday it is offering voluntary buyouts to about 60,000 employees, roughly a quarter of its global workforce.
  • The Voluntary Exit Offer is time-limited and voluntary, and covers participating teams in Canada, India, the United Kingdom and the United States at level 70 and below.
  • Marketing, commercial business and security teams are excluded from the offer.
  • The size of the financial package for departing staff has not been disclosed.
  • Microsoft is due to report first-quarter earnings after markets close on Wednesday.

Why it matters: The offer is the second voluntary exit scheme Microsoft has launched this year, and it comes as the company forecasts $175 billion in capital expenditure.

On this page
  1. The short version
  2. Who can take the offer
  3. What Microsoft says the offer is for
  4. How this differs from earlier moves
  5. The spending behind the offer
  6. Where reports differ and what is unknown
  7. Sources and further reading
  8. Frequently asked questions

Microsoft is offering voluntary buyouts to about 60,000 employees, roughly a quarter of its global workforce, including staff in the United Kingdom.

Microsoft announced the programme on Monday. It is called the Voluntary Exit Offer, or VEO, and employees choose whether to take it.

Microsoft's annual filing shows 223,000 full-time employees globally as of 30 June 2026.

The scheme is the second voluntary offer the company has made to staff this year. It comes as Microsoft forecasts $175 billion in capital expenditure for the 2026 calendar year and prepares to report earnings this week.

  • 60,000Employees offered a buyout
  • 223,000Full-time employees, 30 June 2026
  • $175bnForecast capital expenditure, 2026 calendar year

Source: Microsoft, annual filing

Who can take the offer

Eligibility depends on country, seniority and team. Microsoft set out the first two in a company statement.

This offer will be available to eligible employees in participating teams in Canada, India, the United Kingdom and the United States at level 70 and below,

MicrosoftCompany statement

In plain terms, "participating teams" means that only some parts of the company have joined the scheme. "Level 70 and below" sets a ceiling on seniority. Reports do not say what level 70 represents.

Microsoft has named some of the teams that are in and some that are out.

Details
CountriesCanada, India, the United Kingdom, the United States
Level70 and below
Teams named as eligibleAI experiences, Copilot, finance, human resources, Xbox, Windows + Devices
Teams excludedMarketing, commercial business, security

Eligible employees are expected to receive details of the programme shortly.

What Microsoft says the offer is for

The Voluntary Exit Offer reflects an important part of how we’re evolving our approach to change: creating greater flexibility and, where possible, more ways for employees to shape their next chapter,

Amy ColemanExecutive vice president and chief people officer, Microsoft

Coleman also said the offer was a choice for staff and a tool for managers. "This offer gives eligible employees who may be considering a future outside the company a new choice to make that transition now with support. It also gives participating organizations another way to adapt their workforce to changing needs."

Microsoft said the new programme draws on what it learned from the earlier voluntary retirement scheme.

How this differs from earlier moves

The new offer is far larger and reaches beyond the United States. Microsoft's voluntary buyouts in April went to about 9,000 employees, which was about 7% of its US workforce.

In July, Microsoft announced it would cut 4,800 jobs, about 2.1% of its global workforce. The plan also included an overhaul of the Xbox gaming business and the sale of up to five studios.

That was a decision by the company to remove jobs. The new offer is different because each eligible employee decides whether to leave. One report puts the July job cuts at nearly 5,000.

  1. AprilFirst voluntary offer

    Buyouts offered to US staff.

  2. JulyJob cuts announced

    Xbox business overhauled.

  3. MondayVoluntary Exit Offer announced

    Staff in four countries are eligible.

  4. WednesdayEarnings due

    First-quarter results after markets close.

The spending behind the offer

Overall spending reached $41 billion from April through June, Microsoft said in July, and the company expected it to climb to $50 billion from July through September.

Chief financial officer Amy Hood said about two-thirds of the company's spending goes to "short-lived assets," specifically chips. She cited customer demand for "both AI and non-AI infrastructure."

Microsoft shares were up about 1% on Monday, reports said, after a rise of about 10% this year.

Where reports differ and what is unknown

The sources disagree on some details. One report describes eligible staff as those at vice president level and below, while others say level 70 and below. One lists some data centres, sales and marketing as excluded teams, while others name marketing, commercial business and security.

What we know

  • The offer is voluntary and time-limited.
  • It covers participating teams in four countries.
  • It is Microsoft's second voluntary offer this year.

Still unclear

  • How many employees will accept the offer.
  • The size of the financial package for departing staff.
  • The total cost or savings Microsoft expects.
  • Whether the offer will extend beyond the named countries or teams.

Microsoft is due to report first-quarter earnings after markets close on Wednesday.

Sources and further reading

  1. Microsoft offers voluntary exit packages to 60,000 staff as AI spending continues to soar (opens in a new tab) IOL
  2. Microsoft offers voluntary buyouts to 60,000 employees (opens in a new tab) PocketGamer.biz
  3. Microsoft has offered a quarter of its entire workforce redundancy (opens in a new tab) Videogameschronicle
  4. Microsoft Launches Voluntary Exit Program Covering Over a Quarter of Its Staff (opens in a new tab) 80
  5. Microsoft offers buyouts to around 60,000 employees to contain costs (opens in a new tab) Cybernews
  6. Microsoft Offers Voluntary Exit Buyout to About 60,000 Employees Amid Massive AI Infrastructure Push (opens in a new tab) Gadgets360

This article was prepared by the GlobePrism editorial team from the public reporting linked above. How we report

Frequently asked questions

What is Microsoft's Voluntary Exit Offer?

It is a time-limited programme under which eligible employees can choose to leave the company. Microsoft says it gives staff a way to make that move now with support.

Which countries does the Microsoft exit offer cover?

It covers participating teams in Canada, India, the United Kingdom and the United States. Staff must be at level 70 and below.

Which Microsoft teams are left out of the offer?

Marketing, commercial business and security teams are excluded. Teams named as eligible include Copilot, finance, Xbox and Windows + Devices.

Is the Microsoft offer the same as a layoff?

No. It is voluntary, so each eligible employee decides whether to accept. The July job cuts were a company decision to remove roles.

How much will Microsoft pay staff who take the offer?

That has not been disclosed. The total cost or savings Microsoft expects is also unknown.