Microsoft Offers Exit Packages To 60,000 Staff Amid Heavy AI Spending

Microsoft has announced a voluntary exit scheme for around 60,000 employees as the technology giant continues to invest heavily in artificial intelligence (AI) while seeking to control costs. The programme, announced on Monday, will cover eligible employees in select teams across the United States, Canada, India and the United Kingdom. Staff at the vice-president level and below can apply, although some groups, including certain data centre, sales and marketing teams, have been excluded. Microsoft's Chief People Officer Amy Coleman said the initiative would give eligible employees an opportunity to leave the company with financial assistance and career planning support. The scheme is also intended to help different divisions adjust their workforce according to changing business needs. The latest offer marks Microsoft's second voluntary exit programme this year. In April, the company introduced an early retirement option for a section of its US workforce, with around 30 per cent of eligible employees reportedly accepting the offer. Microsoft had approximately 223,000 employees worldwide at the end of June, compared with 228,000 at the end of 2025, according to regulatory filings. Around 27 per cent of its workforce is eligible for the latest programme. The move comes as the company continues to spend heavily on AI development and related infrastructure, including data centres, while looking to manage its overall expenses. Microsoft is expected to announce its quarterly financial results later this week, which could provide further details about its business performance and spending plans.