Microsoft is looking to cut more than 25% of its workforce

Microsoft has announced a new "voluntary exit offer" aimed at making drastic cuts to its headcount. A CNN report says roughly 60,000 of the company's employees are eligible for the buyout offer, a number that represents around 27% of its total workforce.

"This offer gives eligible employees who may be considering a future outside the company a new choice to make that transition now with support. It also gives participating organizations another way to adapt their workforce to changing needs," Microsoft chief people officer Amy Coleman said in a memo sent to employees.

"The Voluntary Exit Offer reflects an important part of how we're evolving our approach to change: creating greater flexibility and, where possible, more ways for employees to shape their next chapter. This builds on what we learned earlier this year through the Voluntary Retirement Program."

The CNN report says Microsoft's buyout offer is part of its effort to balance its spending on AI services, and was preceded by its first-ever voluntary buyout program for employees in the US in April, and then layoffs of roughly 4,800 people in July.

The buyout offer is limited to employees in the US, UK, India, and Canada, and not all employees are eligible: Coleman said participation in the program "varies based on each business's priorities, customer commitments and workforce needs." Employees who want to take advantage of the buyout will leave the company on December 31, according to the CNN report.

Whether Xbox is one of the participating businesses was not specified—I've reached out to Xbox to ask and will update if I receive a reply.