Microsoft has announced a voluntary exit programme for around 60,000 employees globally, including eligible staff in India, the US, the UK and Canada, as the technology giant seeks to control costs while
increasing investment in artificial intelligence (AI).
The programme will be available to employees at vice-president level and below in selected teams across the four countries. However, some groups, including certain employees working in data centres, sales and marketing, will be excluded.
Microsoft has not disclosed how many employees in India will qualify for the offer. The company has around 23,000 employees in the country, while approximately 60,000 workers worldwide are eligible for the programme.
Exit Package Offers Financial, Career Support
The voluntary exit offer (VEO) is a time-limited initiative intended to give eligible employees greater flexibility to pursue opportunities outside the company, while allowing participating teams to adjust their workforce to changing business needs.
According to information available about the programme, eligible employees in India will have until December 1 to decide whether to accept the offer. The package is understood to include one month’s base salary for every completed year of service, along with health insurance and career transition support.
Amy Coleman, Microsoft’s executive vice-president and chief people officer, said the programme would provide employees with support if they chose to leave, while giving participating organisations another way to respond to evolving requirements.
“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, told employees in a memo.
The company said eligibility would depend on individual business priorities, customer commitments and workforce needs. Eligible employees will receive emails setting out the terms of their offers.
Second Buyout Offer As AI Spending Rises
The latest initiative marks Microsoft’s second voluntary exit or retirement offer this year. In April, the company reportedly offered early retirement to around 7% of its US workforce, with approximately 30% of eligible employees taking up the offer, according to CNBC.
Microsoft had 223,000 employees globally at the end of June, compared with 228,000 at the end of 2025, according to regulatory filings. Around 27% of its workforce is understood to be eligible for the latest programme.
The move comes as Microsoft commits substantial resources to AI and cloud infrastructure. The company has pledged $20.5 billion in investment in India between 2025 and 2029, covering cloud and AI infrastructure, skills development and operations.
A Microsoft spokesperson said the company also remained on track to equip 20 million people in India with AI skills by 2030.
Coleman said the programme was new for Microsoft and that the company would learn from its implementation. The company is expected to report its quarterly earnings later this week.
(With inputs from agencies)
