Microsoft launches first-ever voluntary retirement to trim costs amid AI push
Microsoft is offering a one-time voluntary retirement program for about 8,750 U.S. employees (roughly 7% of its U.S. workforce) who meet age-and-service criteria, with a financial payout and extended healthcare, as it seeks to curb costs during a rapid build-out of AI infrastructure. Eligible staff (Level 67 and below) will be notified May 7 and have 30 days to decide; the move accompanies changes to the pay structure, including fewer pay levels and decoupling stock awards from bonuses. The program is set to take effect in fiscal Q4 and comes after last year’s more than 15,000 layoffs and a return-to-office policy in Seattle.
