Microsoft Offers Buyouts to 27% of Workforce

Microsoft is offering voluntary buyouts to roughly 60,000 employees, about 27% of its workforce, including senior leaders up to vice presidents, as it funds heavy AI data center spending. Eligible staff in the U.S., U.K., Canada and India must accept by early December and would leave on Dec. 31.

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Microsoft's second voluntary buyout round in 2026 covers about 27% of staff, a sign that AI capex is being financed partly by shrinking headcount. The company projects $145.3 billion in fiscal 2026 spending and reported $41 billion in capex for the June quarter, so labor cost cuts help protect margins. The spokesperson pointed to a 3% to 5% uptake at peer programs, implying roughly 1,800 to 3,000 departures against 60,000 eligible. Follows 4,800 July layoffs, more than 15,000 layoffs in 2025, and a wave of senior executive exits. Earnings are due Wednesday, where investors will look at capex guidance and any restructuring charge; the stock is up about 25% over six months.