Microsoft puts a price on its voluntary retirement program

Microsoft will take a $900 million charge in its current quarter for its voluntary retirement program, which is open to U.S. employees at the senior director level and below with an age and years of service totaling 70 or more. The program is part of a broader reshaping of Microsoft's workforce, which is expected to decline again in fiscal 2027.
Microsoft disclosed a $900 million charge in its current quarter for its voluntary retirement program. The program is open to U.S. employees at the senior director level and below with an age and years of service totaling 70 or more. Eligible employees will receive details on May 7 and have 30 days to decide. The program is part of a broader reshaping of Microsoft's workforce, which numbered 228,000 employees globally as of mid-2025. Microsoft's headcount declined year-over-year in the most recent quarter and is expected to decline again in fiscal 2027. The company plans to spend over $40 billion on capital expenditures in the current quarter, primarily on data centers and AI infrastructure.
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