Microsoft is reportedly offering voluntary buyouts to up to 7 percent of its employees
Microsoft plans to shed more US employees through its first voluntary buyout program, CNBC reports. The buyout program would be offered to U.S. employees “at the senior director level and below whose years of employment and age total 70 years or more,” and could cover up to 7 percent of the company’s U.S. workforce.
With approximately 125,000 employees in the United States as of June 2025, that could mean as many as 8,750 of them will be offered paid severance when Microsoft launches its program in May. This is a lower figure than the approximately 15,000 employees laid off by the company in May and July 2025, but still significant, especially if the majority of employees accept the buyout.
“We hope this program will give eligible people the choice to take the next step on their own terms, with the company’s generous support,” Amy Coleman, Microsoft’s executive vice president and chief human resources officer, said in a memo seen by CNBC.
Engadget has contacted Microsoft to confirm the existence of the voluntary buyback program and other details CNBC reported. We will update this article if we receive a response.
Microsoft used its 2025 layoffs to streamline management levels and its video game business, but these new cuts could have a lot more to do with AI. Not necessarily because the company’s adoption of AI tools resulted in employee layoffs, but rather because Microsoft continues to spend aggressively on AI infrastructure. The company said it spent $37.5 billion in capital expenditures during the second quarter of 2026, much of which went to building data centers.
