Microsoft in a massive efficiency move: will offer voluntary retirement to 60,000 employees

Microsoft is offering a voluntary retirement program to approximately 60,000 employees in the US, Canada, India, and the UK, aiming to reduce costs and adapt its workforce to the era of artificial intelligence. The program is intended for employees at the vice president level and below and does not include Israel. The company has not disclosed the exact financial terms.

Microsoft is offering a voluntary retirement program to approximately 60,000 employees across four countries: the US, Canada, India, and the UK. The move is intended to cut expenses and adapt the workforce to the era of artificial intelligence, amid growing investments in computing infrastructure. The program is aimed at employees at the vice president level and below, and does not include workers in data center, sales, and marketing roles. Employees who choose to leave will receive a benefits package similar to that given in regular layoffs, but the exact financial terms have not been disclosed. Last July, the company offered early retirement to about 8,750 employees who reached retirement age, and over 30% of them accepted. However, according to a company spokesperson, the expected acceptance rate this time is significantly lower. Microsoft employed about 223,000 employees at the end of June. The program does not include Israel, where about 3,000 R&D employees are employed. However, a reorganization has been reported in the Copilot Studio group in Israel, in which employees were summoned to hearings before layoffs.