Microsoft announces buyouts for 60K employees — quarter of workforce — as part of AI transformation | Latest Tech News
Microsoft is offering voluntary buyouts to 60,000 employees — over a quarter of its workforce — as the software program giant works to cut prices and revamp its employees for the AI period.
Employees in the US, Canada, the UK, and India on Monday obtained a memo saying the voluntary exit presents “are a few of the ways we’re trying to meet different business needs while continuing to create opportunities for our own people to grow and contribute.”
Microsoft had about 223,000 employees at the time the memo went out.
Microsoft is planning to part methods with over a quarter of its workforce. ZUMAPRESS.com
Microsoft’s Xbox, Windows, Copilot and finance divisions are getting the presents, according to Bloomberg, which first reported the news. Workers have until Dec. 31 to make a resolution, CNBC reported.
In the spring, Microsoft supplied voluntary retirement to older employees who had labored at the company for an prolonged period. Last yr, the company laid off 9,000 employees.
“My promise is to continue to provide clarity, listen and learn and keep improving,” Microsoft’s chief people officer Amy Coleman wrote in Monday’s missive.
The company has been going all in on AI infrastructure. This past summer time, it reported an 18% income increase, with its cloud merchandise accountable for a big chunk of the growth.
An aerial view of agricultural land acquired by Microsoft in Middenmeer close to its present data facilities, where the company plans future development in Netherlands on July 31, 2026. Anadolu via Getty Images
The company, which is behind Azure and Github, is also funneling money to its data middle community.
“The best thing that can happen to Microsoft is what’s happening right now,” Microsoft’s Jared Spataro said of the company’s AI efforts at a Citigroup convention in September.
The company reported $130 billion in new data middle leases earlier this yr, according to Bloomberg.
“More future data center leases will appear as operating leases instead of finance leases, ” Microsoft’s chief financial exec, Amy Hood, told CNBC. “The adjustment will lead to roughly $175 billion in capital expenditures and finance leases.”
The company’s earnings call is scheduled for Wednesday.
Microsoft didn’t immediately reply a request for remark from The Post.
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