Microsoft is offering voluntary retirement buyouts for the first time in its 51-year history, per reports from CNBC and Bloomberg.
According to an internal memo, employees will be eligible if their years of work at Microsoft plus their age totals 70 or more, with some exceptions. So if someone who is 52 years old has 18 years of service at Microsoft, they could qualify for the buyout.
This move gives Microsoft an opportunity to reduce its headcount in a manner less abrasive than mass layoffs. Over the last few years, Microsoft has weathered several rounds of layoffs, affecting thousands of employees — most recently, the company cut 9,000 jobs last summer.
The company had an estimated 125,000 U.S. employees as of June. The buyouts would reportedly apply to 7% of the U.S. workforce, which amounts to about 8,750 employees.
TechCrunch has reached out to Microsoft for comment.
Source: Techcrunch
