Microsoft offers 60,000 employees voluntary severance amid AI investment

Technology giant Microsoft has launched a large-scale voluntary severance program that could affect up to a quarter of its global workforce. The initiative is aimed at optimizing costs and reallocating resources amid major investments in artificial intelligence (AI).

The cash compensation offer applies to about 60,000 employees in the United States, Canada, India, and the United Kingdom. This was reported by Bloomberg, citing sources familiar with the program. Employees are expected to decide whether to take part by early December, and those who agree will end their employment on December 31. The compensation will be comparable to Microsoft’s standard severance package.

Microsoft Executive Vice President and Chief People Officer Amy Coleman said the program is intended to give employees more flexibility in planning the next stage of their careers. At the same time, the company is not setting a specific target for the number of participants.

Restructuring the workforce for AI investments

The initiative is part of Microsoft’s broader strategy to reduce costs and fund large-scale investments in artificial intelligence infrastructure. The company is actively increasing spending on data centers to meet the demand for high-performance computing used to develop and deploy AI solutions.

Bloomberg views the offer as an attempt to reduce headcount while minimizing forced layoffs, financial costs, and reputational risks. This is not Microsoft’s first such program in 2026. Earlier, in April, the company introduced a voluntary retirement program for some employees in the United States, and in July it announced 4,800 job cuts.

According to sources, the offer will not apply to certain divisions, including marketing, sales, and development teams. However, according to Komersant Ukrainskyi, the program could include Xbox, Windows, Copilot, and finance departments, while teams working on data centers, cybersecurity, and quantum computing may be excluded.

AI investments and their impact on the labor market

Amid aggressive AI investment, other tech giants are also carrying out optimization measures. In particular, there have been reports that Meta is preparing the largest workforce reduction in the company’s history, which could affect 20% of employees.

These trends are unfolding despite research showing that 95% of companies that have invested in AI have not yet seen significant economic benefits from those investments. One of the main reasons cited is the difficulty of adapting ready-made AI tools to specific business tasks.