Microsoft Offers Voluntary Exit Packages to 60,000 Employees in AI-Driven Restructuring

Microsoft launched a program offering voluntary exit packages to approximately 60,000 eligible employees globally, including workers in India, as part of a strategic push to improve efficiency driven by AI integration.

The company said the program is voluntary and is designed to give employees who want to leave the opportunity to do so with a financial package. Microsoft did not say how many employees it expects to take the offer.

The move follows earlier rounds of layoffs at Microsoft in 2026, including cuts to its Siri and Vision teams at Apple, which separately announced 400 layoffs as its new CEO John Ternus prioritized AI-driven architectural changes.

Microsoft has been investing heavily in AI across its product lines, integrating AI capabilities into its Office suite, Azure cloud platform, and Copilot assistant. The company updated Copilot in October to include billing for agentic tasks through a new "Copilot Credits" system.

The restructuring reflects a broader pattern across the tech industry, where companies are using AI to automate tasks that previously required large teams of workers. Several major tech firms have reduced headcount in 2026 while simultaneously increasing AI-related spending.

Microsoft's stock has remained relatively stable despite the restructuring announcements, with investors focused on the company's AI revenue growth rather than its workforce changes.