Microsoft offers voluntary severance packages to 60,000 employees
Amman2 min read
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Microsoft announced on Monday that it has offered voluntary severance to about 60,000 employees, representing roughly a quarter of its workforce, as part of the tech giant's efforts to cut costs while pumping heavy investments into artificial intelligence.
A Microsoft spokesperson said the offer includes employees in specific teams in the United States, Canada, India, and Britain, holding positions at the vice president level and below, while exempting certain categories, including some workers in data centers, sales, and marketing.
Amy Coleman, Executive Vice President and Chief Human Resources Officer at the company, stated in a memo to employees that "the voluntary separation offer reflects an important aspect of evolving our approach to managing change by providing greater flexibility and giving employees, where possible, broader choices to shape the next chapter of their careers."
This is the second time Microsoft has offered voluntary severance to its employees this year.
In April, reports indicated that the company provided about 7% of its employees in the United States with the option of early retirement.
About 30% of eligible employees chose to take advantage of the voluntary retirement plan.
Microsoft's global headcount stood at 223,000 at the end of June, down from 228,000 at the end of 2025, according to regulatory filings submitted by the company.
The company is expected to report its quarterly financial results later this week
