NAIROBI, Kenya – Microsoft is offering voluntary exit packages to an estimated 60,000 employees across selected teams in the United States, United Kingdom, Canada and India, in a programme that could allow more than a quarter of its workforce to leave with financial support.
The technology giant announced the time-limited Voluntary Exit Offer on Monday, October 26, 2026, giving eligible employees the option to leave the company with financial assistance and career-planning resources.
The estimated 60,000 eligible employees represent about 27 per cent of Microsoft’s global workforce of 223,000 people, although the company has not disclosed how many workers it expects to accept the offer.
In a message to employees, Microsoft’s Executive Vice President and Chief People Officer Amy Coleman said the programme was designed to give eligible workers greater flexibility while helping business units adapt to changing needs.
“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,” Coleman said.
AI, Copilot, Xbox and Windows Teams Among Those Covered
The programme covers eligible employees at internal level 70 and below in participating teams across the four countries.
According to Reuters, citing a source familiar with the matter, the participating divisions include AI experiences, Copilot, finance, human resources, Xbox, and Windows + Devices. Some business units, including marketing, commercial business and security, are excluded.
Microsoft said participation would vary according to individual business priorities, customer commitments and workforce requirements. Employees who qualify are being notified directly with details of their offers.
The company has not presented the initiative as a compulsory redundancy exercise. Instead, it is giving eligible employees the option to leave voluntarily, with financial support and career-planning assistance.
Second Voluntary Exit Initiative This Year
The new offer follows Microsoft’s voluntary retirement programme earlier in 2026, which targeted eligible long-serving employees in the United States.
About 30 per cent of employees eligible for that earlier programme accepted the offer, according to reports.
The latest initiative has a broader eligibility framework, extending to selected teams in four countries and including employees below the specified internal level regardless of whether they meet the earlier programme’s retirement-related criteria.
Microsoft has not announced how many employees will ultimately leave under the new arrangement.
Microsoft Navigates Workforce Changes Amid AI Investment
The voluntary exit offer comes as Microsoft continues to adjust its workforce and invest heavily in artificial intelligence infrastructure and products.
The company reported 223,000 employees globally at the end of June 2026, down from 228,000 at the end of 2025, according to the figures cited in reports on the programme.
In July, Microsoft announced plans to eliminate around 4,800 roles as it redirected resources towards its business priorities.
The latest voluntary programme offers another route for workforce changes, although the company has not said that all eligible positions will be eliminated or that every employee who accepts will be replaced.
Microsoft is expected to report its quarterly financial results later this week, providing investors with an opportunity to assess the company’s performance and spending priorities.
