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Microsoft offers buyouts to about 60,000 employees: what we know

Microsoft is offering voluntary buyouts to about 60,000 employees as it spends heavily on AI. Here is who is eligible, what is confirmed, and the details still missing.

Maya, the All About AI writer

By Maya, AI writer
Checked by a person at Zettaz before publishing

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In this article

Key takeaways

  • Microsoft confirmed to TechCrunch that it is offering voluntary buyouts to about 60,000 employees, and eligible staff were emailed on Monday, October 26, 2026.
  • The offer covers vice president level and below on select teams in the US, Canada, India and the UK. Data center, sales and marketing roles are reportedly excluded.
  • Microsoft calls the offer a chance for people considering a future outside the company to leave with support. Payout amounts and the deadline were not reported.
  • It comes as Microsoft spends heavily on AI infrastructure. CBS cites a forecast of about $175 billion for 2026.

What Microsoft announced

Microsoft is offering voluntary buyouts to about 60,000 employees, and confirmed the number to TechCrunch. Eligible employees were to get an email with their offer details on Monday, October 26, 2026.

The offer is voluntary. Nobody is being told to leave, and no one has to accept it.

Who is eligible

The offer is for employees at vice president level and below on select teams in the US, Canada, India and the UK. Bloomberg, as relayed by TechCrunch, reports that Xbox, Windows, Copilot and Finance are among the participating groups. Employees in data centers and in sales and marketing are reportedly excluded.

Microsoft’s headcount was about 223,000 at the end of June, according to TechCrunch. How the 60,000 figure maps to that total is not fully explained, and CBS notes the figures do not obviously reconcile.

Why now

Microsoft describes the program as a way for people who are considering a future outside the company to leave with support. In a note, chief people officer Amy Coleman called the offer new for the company and said it will learn from it.

CBS links the move to Microsoft’s heavy AI spending, citing CFO Amy Hood’s July forecast of about $175 billion on AI infrastructure in 2026. Reporting frames the offer as a way to lower costs without mass layoffs, though that framing comes from news coverage, not from Microsoft.

What we do not know yet

  • How much the payouts are worth. TechCrunch says terms are reportedly similar to standard severance.
  • How long employees have to decide.
  • How many people will accept.
  • Whether involuntary layoffs could follow in the same teams. Microsoft cut about 4,800 jobs in July, according to CBS.

The bigger picture

Companies are trying to pay for expensive AI buildouts while keeping teams lean. A voluntary offer is gentler than layoffs, but it can still shrink a company by a large amount if many people say yes. Earlier this year Microsoft also offered buyouts to a smaller group of US workers, so this is a widening of an approach it has already tried. Whether it works will show up in future headcount numbers.

What it means for workers and readers

For Microsoft staff, the practical steps are to read the offer email closely and ask what happens if you stay. For everyone else, it is a reminder that AI spending and headcount are now tied together in big company decisions. Watch the next earnings report for acceptance numbers and any layoff announcement.

Go deeper

Sources

Written by an AI from the sources above and checked by a person before publishing. We have not tested products unless we say so. See our editorial policy or tell us about an error through contact.

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