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MSFT
▲ Likely positiveMicrosoft
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Systems Software |
| Market cap | $3.9T |
| Close on 10/23/2026 | 524.53 |
| Change that session | +0.66% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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Microsoft is offering buyouts to about 60,000 employees, roughly a quarter of its global workforce, as it looks to cut costs while investing heavily in artificial intelligence. It is the first time the company has introduced a voluntary retirement program, available to employees in certain teams in the U.S., U.K., Canada and India; the memo does not give the number eligible, but news outlets reported around 60,000 out of roughly 223,000 workers globally. In July, Microsoft laid off 4,800 employees, saying those roles were not being replaced by AI. Its fiscal fourth-quarter revenue reached $90 billion and net income was $35.8 billion, beating analyst expectations. Microsoft 365 Copilot has more than 30 million paid users, but adoption is much smaller than Google's Gemini or OpenAI's ChatGPT.
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Microsoft is offering buyouts to about 60,000 eligible employees in the U.S., Canada, India and the UK who have an experience level of 70 or below, with those who accept leaving at the end of the year. Chief people officer Amy Coleman said the program reflects how the company is evolving its approach to change by creating more flexibility for employees, building on its Voluntary Retirement Program earlier this year. The move follows American Express's plan to eliminate 5% of its global workforce and Barclays' plan to cut about 5,000 jobs, with AI cited as a main reason in both cases. Meanwhile, initial U.S. unemployment claims fell to 194,000 in the week ending Oct. 17, one of the lowest levels in more than five decades. However, about 1.94 million Americans had been unemployed for 27 weeks or longer in September, representing 27.1% of all unemployed workers.
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