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More cuts at Microsoft

Microsoft is offering voluntary buyouts to about 60,000 employees as it squeezes costs while funding its enormous AI spending programme.

According to Reuters, more than a quarter of its workforce could qualify. Apparently, the machines need more buildings while the humans need directions to the door.

Eligible teams span Canada, India, the UK and the US, covering employees at level 70 and below. A source told Reuters that participating divisions include Windows + Devices, Xbox, Copilot, AI experiences, finance and human resources. Marketing, commercial business and security are excluded.

Microsoft chief people officer Amy Coleman presented the programme as support for employees considering careers elsewhere and a way to adjust staffing.

Eligibility does not mean 60,000 people will leave. Participation is voluntary, and the offer is time-limited. Microsoft employed 223,000 people at the end of June. Earlier this year, it offered buyouts to roughly 9,000 US staff.

July brought another 4,800 planned job cuts, alongside changes to Xbox and plans to divest up to five studios. The company has forecast $175 billion in capital expenditure for calendar 2026. It will report its first-quarter results after markets close on 28 October.

 

 

TOPICS:
AI spending  ·  capital expenditure  ·  copilot  ·  job cuts  ·  Microsoft  ·  voluntary buyouts  ·  windows  ·  workforce reductions  ·  Xbox

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