IT Home October 27 news: Microsoft confirmed to the tech media TechCrunch on Monday local time that the company is offering voluntary buyout packages to about 60,000 employees. This move is Microsoft's latest effort to cut costs and adjust its workforce structure for the artificial intelligence era.
Microsoft Chief People Officer Amy Coleman sent employees a notice about the buyout program, and IT Home noted that the notice was also published on Microsoft's official website.
According to the notice, employees at the vice president level and below in certain teams in the United States, Canada, India and the United Kingdom are eligible to apply. According to Bloomberg, departments participating in the buyout program include Xbox, Windows, Copilot and the finance department. Some employees in roles such as data centers, sales and marketing are not included this time.
The notice sent to employees reads: "The voluntary separation program is an important part of how we approach change: it brings greater flexibility and, where feasible, gives employees more options for planning the next stage of their careers. For eligible employees who are already considering leaving the company to pursue their development, this program provides a brand-new option that allows them to complete the transition with the company's support."
Microsoft said eligible employees would receive an email on Monday containing a link to details of the voluntary separation program. The terms of this buyout are similar to Microsoft's standard severance package.
The notice stated: "The voluntary separation program is a new attempt for us. We will learn from it. At the same time, we will continue to help employees focus on their core work, learn new skills, and, at the right time, assist employees in finding new positions within Microsoft. There is no one-size-fits-all solution that applies to all teams and employees. Through approaches like this, while meeting different business needs, we continue to create opportunities for internal employees to grow and deliver value."
Through voluntary buyouts, Microsoft can reduce headcount while avoiding the sharp impact of large-scale layoffs. This is not the first time Microsoft has offered a buyout program. Earlier this year, Microsoft offered buyouts to employees who had reached retirement age, and more than thirty percent of the roughly 8,750 eligible employees chose to accept.
As of the end of June, Microsoft's total number of employees was 223,000.